Should New Lumia Devices be sold at a loss ?

[leehab]

" So, they invest BILLIONS in Nokia but, they have no interest in Market share ? Really ? Are people that clueless to believe that for one second ? "

Yes they are that clueless . MSFT does Not have futuristic long term plan . This CEO is blinded by Clouds and thinks that is the only thing that matter . Yet Amazon started from zero and now is #1 in Clouds with market share of 29.0% . Apple was once almost bankrupt and so was Ford and look at what the CEO did . Because they had vision . When there was a rumor that
Ford CEO might be hired the stock jumped 5 points but then it dropped when this guy was hired . MSFT needs an outsider

 

[Nadjib Bait]

The solution is super simple:
Pay Bieber, West or Kardashian to show himself a couple times in public with a Lumia... believe me market share will go from 3% to 10% the first year, you'll have an Instagram app better than iOS one, and Snapchat will release an app in a couple months...

That's the unfortunate truth of our modern societies: sheep, sheep everywhere...

 

[Aquila]

I saw windows phones in several Blockbuster movies.

sent via Nexus Assassin Edition. Gonfaloniere.

 

[HoosierDaddy]

If someone can explain why Microsoft release and maintain their own apps better on other systems, then please do. 'Cause i really want to know..........

It makes sense if MS has already concluded that WM will go away. If they announce they are pulling the plug while loyal customers still think it will eventually succeed, it could lead to marches on Redmond with torches and pitchforks. If they gradually make it less and less appealing compared to other phones and market share drops, that same angry mob will instead feel sorry for MS and its gallant attempt.

I'm not saying I thing that is happening (although more twisted things have happened) but you asked for any explanation.

Or you can take MS at their word which is (to paraphrase) their services and Office are far more important than any devices or even the Windows OS, so they are giving the good stuff to the largest market-share platforms first.

 

[gazmatic]

at a loss no. most phones dont cost more than $300 to make.
the maximum price of the xl should be 599 with the accesories included.

if not it will be doa.
they should even think about pricing it high than 650. as a longtime windows fan. the nexus 6p costs 650 and that is the most i plan on spending on a phone.

so if microsoft wants this phone to bomb, they will give it iphone pricing. if they want even a flicker of success, then it should be the same price or cheaper than the nexusp.

because as a long time lumia lover, my red lumia 920 is looking rather dated and i want a new phone now. i want a lumia 950 xl but if it's more than the nexusp then guess what i'll be buying?

 

[HoosierDaddy]

The solution is super simple:
Pay Bieber, West or Kardashian to show himself a couple times in public with a Lumia... believe me market share will go from 3% to 10% the first year, you'll have an Instagram app better than iOS one, and Snapchat will release an app in a couple months...

That's the unfortunate truth of our modern societies: sheep, sheep everywhere...

Would absolutely work BUT it would require the celebs to keep using Windows Phones. Unfortunately, these aren't the kinds of people who take commitments seriously, even if they wanted to (which they won't). Didn't MS pay CNN (or some network) to use Surface devices on the air and some camera shots showed them still using their Apple devices where the camera wasn't meant to show? As soon as the check is cashed and the celeb doesn't know how to do something on the WP, they will go back to the iPhone in a heartbeat. Or better yet, like the Verizon commercial showing geese (former customers) flocking back, Apple will pay the celebs more to do a commercial about how much they missed their iPhones but learned their lesson the hard way.

 

[Nadjib Bait]

Would absolutely work BUT it would require the celebs to keep using Windows Phones. Unfortunately, these aren't the kinds of people who take commitments seriously, even if they wanted to (which they won't). Didn't MS pay CNN (or some network) to use Surface devices on the air and some camera shots showed them still using their Apple devices where the camera wasn't meant to show? As soon as the check is cashed and the celeb doesn't know how to do something on the WP, they will go back to the iPhone in a heartbeat. Or better yet, like the Verizon commercial showing geese (former customers) flocking back, Apple will pay the celebs more to do a commercial about how much they missed their iPhones but learned their lesson the hard way.

MS can just give them a super big check (would still cost a lot less than TV ads for eg) with a very serious/strict contract, I think it could work.

 

[desitunez]

After 7.2 Billion dollar loss , they cant afford too

 

[Vladimir Byazrov]

I might consider Microsoft's top notch flagship phone for no more than $500. but even for this price I'd probably look away. I've had enough experience with WP7 and WP8 on two phones. And it felt like an inhabited unfriendly island. So maybe $300 price tag could trick me into buying my third Microsoft's experimental thingy they call a smartphone.

 

[Queen Kong1]

Keep costs low= sell more!! That's why select few have iphones. Lumia 532 is $29.00 Amazing price

 

[scandiskwindows9x]

if sells with no profit just will do a very clear thing, bankruptcy the problem that Windows Phone have is the apps that is the problem, now are deepen the problem with the discontinuation of some services and apps and the lack of here maps by the day of today 10/03/2015 that deepen the problem also the same policy of Nokia of release each 2 years an new device when the today chipset companies are so fast paced that when the snapdragon 810 was new some months later came the newer version of this chipset and that is enough time for Samsung start to do and release an new phone taking advantage of the latest materials in the market and while this the lumia phones gets outdated really fast, also with each new windows phone release more features are took off and that instead of attract more people , move away more people, and have not shown anything creative or any new function rather we are celebrating by functions added that on Android, Symbian were long time ago

 

[peterfares]

Selling the flagship phones for $400-$500 would not be selling for a loss, they'd still be making a profit on them just not iPhone level profits. The Moto X Pure is sold for $400 and OnePlus Two is $329 and those phones are not sold at a loss.

 

[Johnny Tremaine]

It makes sense if MS has already concluded that WM will go away. If they announce they are pulling the plug while loyal customers still think it will eventually succeed, it could lead to marches on Redmond with torches and pitchforks. If they gradually make it less and less appealing compared to other phones and market share drops, that same angry mob will instead feel sorry for MS and its gallant attempt.

If they ever did give up on their own smartphone OS, I'm not sure why people think that it would be in the form of some grand announcement or press release from MS: "Nadellla to fans: we quit". Yeah, no.
They could just slowly put fewer and fewer resources into maintaining Windows mobile, until one day you turn around, and it's not there anymore.
Honestly, IMO I think that's already the path they're on.

Anybody who still thinks that Microsoft is planning on rolling out a huge marketing campaign for phones alone is dreaming or deluded; commercials and marketing efforts may *include* phones, but spending Millions on a phone launch, like Nokia spent to launch the Lumia 920 is not realistic.
That particular horse has left the barn.
As has been stated, phones are now included in Microsoft's portfolio, but I don't believe they expect to win in smartphones, or even crack double digit share worldwide.
That's over, and they're moving on to other things.

 

[Vincent McLaughlin]

No, selling the phones at a loss would not solve the long-term issue. What MS needs to do is market the unique features that the phone has to offer to the markets that can best use them, respectively. That means they will need to have commercials and other advertisements that focus on this. We all know the app situation and that alone will not keep those who decide to try WP from going back over to Android iOS. Many consider WP half-backed and that, IMO, is far from the truth at this point. It does what most phones need to do and then some. However, what MS has to focus on is implementing these features and making them smooth and quick. This is what early adopters of WP have come to love about it and have lost faith that MS bring this back to WP. What people also fail to realize is that most of this bias at this point about Windows 10 Mobile is based on a TP OS, not a finished product. The TP program has been a blessing and curse, but at the end of the day, I think it will pay off.

 

[Aldrich Uyliong]

Microsoft already is selling Lumia devices at a loss. Apple is the only OS maker in the mobile space that actually make money on hardware but I know what you mean. And I think undercutting on price is a bad idea. It flies for upstarts but if an established company like Microsoft did that, it sends the wrong message to consumers.

Specifically, it comes across as lack of confidence and lack of interest to support the product from the company. Remember that fire sales usually precede the closing of businesses.

 

[zkyevolved]

They need to look at BlackBerry, and learn from it. It didn't work when you priced your phone the same or higher than iPhone, and Android. You are trying to catch up, so you have to spend money to close the distance.

I don't know when the Blackberry Priv will be launched, but I'm going to be fairly certain and say that it's not going to sell for less than 600 euros; Blackberry never learns. They've been struggling for years. I would have picked up a Blackberry Passport, but 1 year later today (actually, 16 months later) it STILL Costs over 600 euros! It's a dead platform which is converging to Android and they are STILL holding on to their silly price tag! Why on EARTH Would I pick a Blackberry Passport which has a worse camera than most Android devices, strange form factor (which I actually like), 0 apps, and no future over, for example, my LG G4 which costs less than 450 euros which DOES Have a future and updates, higher resolution screen, better camera, etc etc.

I know NO company wants to deflate their own products, but come one... If I make a product X and I sell it for 200 bucks. Another company makes a better device Y, and they sell it for 150 and it's way more popular... I would have to, logically and strategically, get it into people's hands by lowering the price and marketing the hell out of out!!!

Please Microsoft, make your premier flagship device 500 euros and let me buy it flat out

 

[Aldrich Uyliong]

Have you seen The Martian? I saw its premiere last night here in the Philippines. I'm happy to report seeing quite a few Surface Pro 3s.

 

[Tien-Lin Chang]

Microsoft already is selling Lumia devices at a loss. Apple is the only OS maker in the mobile space that actually make money on hardware but I know what you mean. And I think undercutting on price is a bad idea. It flies for upstarts but if an established company like Microsoft did that, it sends the wrong message to consumers.

Specifically, it comes across as lack of confidence and lack of interest to support the product from the company. Remember that fire sales usually precede the closing of businesses.

I don't think MS was selling at any loss ever, the lost was due to unable to sell and the unsold stock sit dead in the warehouse - the same reason how blackberry lose money on their BB10 device selling.

The pricing-SPEC cruve across lumia product line after 2013 is a joke compare to android, the permium inside blah is totally BS unless you get the BOM and prove they really get better parts compare to other OEMs. MS is always profit-driven so the price-tag they put on lumia devices in asia area is Crazy. They didn't even mention if 950/XL will get PDAF and I really hope they don't just put a reworked 1520/930 sensor on their newest flagship.

For those naive people believing the "MS is not interesting in market share" BS, to me the real reason if they put a sky high price tag on 950/XL line will be "since we couldn't get more outsider on board, we better rip those hardcore redneck harder to gain some profit".

 

[Joni Sin]

"Should New Lumia Devices be sold at a a loss ?"

No need, it wont matter much.
better if Winmo 10 could run android apks directly, that will better way attract more users

 

[amcluesent]

950 will be the Sony Betamax of mobis. Fact.