Nokia’s Future Prospects Depend on Success of Lumia and Asha Series

It goes without saying that Nokia Corp. (NASDAQ:NOK) is a company that has seen better days. A plethora of smartphones powered by Google’s (NASDAQ:GOOG) Android operating system have taken the market by storm, and we have not even mentioned Apple, Inc.’s (NASDAQ:AAPL) iPhone.

Once the long-running worldwide leader in mobile phone sales, Nokia no longer bears that honor – Samsung had recently taken over the top spot.

Is there anything the Finnish company can do to become relevant again and possibly reclaim its place at the top?

Q2 2012 may be a quarter to watch for Nokia, which will be releasing its second quarter numbers today. The Lumia 900, which is currently Nokia’s flagship Windows Phone 7 handset, was released in the United States, and while it has not sold as well as the iPhone 4S and Samsung Galaxy S3, it has performed quite solidly.

Still, the company’s revenue from emerging markets dropped 40 percent year-on-year in Q1 2012. Emerging markets have always been a primary bailiwick for Nokia, due to their generally inexpensive handset offerings. This may be the main reason why Nokia is not at all optimistic when it comes to these Q2 numbers.

We won’t delve into the technical specifications of these phones, but it is clear that the Lumia 900 and Windows Phone’s American success will play a major role, at least in ensuring a few small victories are won going forward.

The Asha series, on the other hand, would help Nokia remain competitive in emerging markets, especially in Asia. It may be too late to salvage Q2 2012, but the combined focus on Windows Phone (in major markets) and the Asha line (in emerging markets) could help Nokia’s fortunes improve in the coming quarters.