HMD Global has announced that it is exiting the phone business, which also affects its partnership with Nokia. Reports indicate that the company has issued a statement indicating its decision to “scale back” operations in the U.S. market, suggesting that it will no longer sell phones.
Since 2016, HMD has been selling devices under the Nokia brand. According to HMD, the decision is a response to a “challenging geopolitical and economic environment.”
Despite halting phone sales, the company assures customers that it will continue to honor warranties and provide support for existing products. HMD clarified that it is not exiting the market entirely, stating that the company remains focused on long-term growth.
In its official statement, HMD highlighted its commitment to ensuring a smooth transition for customers and partners. It emphasized the importance of fulfilling obligations, including warranty service and support through its global teams.
Furthermore, the company expressed appreciation for the contributions of its U.S. workforce, assuring them support during this transition period. HMD stated that it continues to have strong momentum in its mainstream business, particularly in key areas like Family, Secure, and Microfinancing.
The history of HMD and Nokia is quite intricate. Nokia divested its mobile phone division to Microsoft in 2014.
In 2016, former Nokia executives established HMD, acquiring the mobile phone business from Microsoft and entering a licensing agreement with Nokia to produce phones under the iconic brand. HMD has released various devices, including Android smartphones and unique offerings like a Barbie-themed flip phone.
However, it appears that HMD’s website has ceased the sale of mobile phones under both the Nokia and HMD brands, although some models are still available through third-party retailers.
Leave a Reply