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Why Nokia Missed the Smartphone Shift

CNBC International • 2026-06-06T04:00:31Z • 12:23:00 • intermediate • Technology

Lead

Have you ever wondered how a giant like Nokia lost its grip on the smartphone market? Dive into the story of their rise and fall, and discover the key lessons learned from their journey.

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Quiz

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Q1. What was Nokia's critical strategic shift in the 1990s?

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Q2. What major product did Nokia launch that sold 20 million units?

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Q3. What was a key reason Nokia struggled to compete with the iPhone?

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Q4. What operating system did Nokia partner with Microsoft to use?

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Q5. What was the final outcome for Nokia's mobile phone business in 2014?

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Vocabulary

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encapsulated

/ɪnˈkæpsʊˌleɪtɪd/

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Definition

to express the essential features of something succinctly.

Example

The book encapsulated the essence of the era in just a few chapters.

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optimal

/ˈɑptɪməl/

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Definition

most favorable or desirable; best.

Example

Finding the optimal solution to the problem required extensive research.

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multitude

/ˈmʌltɪˌtud/

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Definition

a large number of people or things.

Example

The festival attracted a multitude of visitors from around the world.

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hamstring

/ˈhæmstrɪŋ/

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Definition

to hinder or restrict the effectiveness of something.

Example

The new regulations hamstring the company's ability to innovate.

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ecosystem

/ˈiːkoʊˌsɪstəm/

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Definition

a complex network or interconnected system.

Example

The tech ecosystem is constantly evolving with new startups and innovations.

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strategic

/strəˈtiːdʒɪk/

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Definition

relating to the identification of long-term or overall aims and interests.

Example

The company made a strategic decision to enter the Asian market.

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