No Windows 8 Prompts Nokia to Cut Lumia 900 Price

Dennis Faas's picture

Given the amount of media attention paid to the financial calamity currently facing Research in Motion (RIM), maker of the BlackBerry, the troubles of other smartphone producers have gone relatively unnoticed. But perhaps that's no longer the case.

Nokia Corp. has also been confronted with narrowing profit margins, and has responded to a lack of consumer interest by slashing the price of its Lumia 900 Windows phone device.

The Lumia 900, which runs Microsoft's Windows Phone mobile operating system, first hit the market in April, 2012. Available exclusively through AT&T stores, it was originally priced at $99, provided that purchasers agreed to sign a two-year service plan.

Price Cut from $99 to $50

However, it's now being reported that Nokia has slashed the price of the Lumia 900 to just $49.99 with the signing of a similar two-year agreement. The price cut was introduced Sunday morning, July 15, 2012. (Source:

"This move is a normal strategy that is put in place during the lifecycle of most phones," a Nokia spokesman said, adding that it "allows a broader consumer base to buy this flagship device at a more accessible price." (Source:

According to news reports, the price-cutting move is part of a larger attempt by Nokia to awaken greater consumer interest in its Lumia 900 and some other handheld devices.

Like RIM, Nokia has struggled in recent months to compete with Apple and other firms in the handheld market. (Source:

Also like RIM, Nokia recently announced it would opt for considerable downsizing. Last month the company's chief executive officer, Stephen Elop, admitted the firm was planning to cut 10,000 jobs, worldwide.

No Upgrade to Windows 8

However, the Lumia 900 price cut is due to more than Nokia's market struggles. A few weeks ago, it was revealed that the device is not compatible with mobile versions of Windows 8, so upgrading to Microsoft's newest operating system will not be a possibility.

Despite that significant shortcoming, Nokia says it plans to release other -- at this time unspecified -- updates and upgrades for the Lumia 900.

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