Nokia, a renowned telecom equipment maker has shifted its focus to aggressive growth. And this Sunday, the company announces its plans to change its brand identity for the first time in nearly 60 years, complete with a new logo. The new logo is made up of five different shapes that form the word NOKIA. The old logo’s iconic blue color has been replaced with a variety of colors depending on the application.
“There was the association to smartphones and nowadays we are a business technology company,” Chief Executive Pekka Lundmark told in an interview. He was speaking ahead of the company’s business update on the eve of the annual Mobile World Congress (MWC), which begins Monday in Barcelona and runs until March 2.
After taking over as CEO of the struggling Finnish company in 2020, Lundmark devised a three-stage strategy: reset, accelerate, and scale. Lundmark stated that the second stage has begun now that the reset stage has been completed.
While Nokia continues to strive to expand its service provider business, in which it sells equipment to telecom companies, its primary focus is now on selling equipment to other businesses.
Major technology companies have partnered with telecom equipment makers such as Nokia to sell private 5G networks and automated factory gear to customers, mostly in the manufacturing sector. Nokia intends to review the growth paths of its various businesses and consider alternatives, such as divestment.
Nokia’s move towards factory automation and data centers will pit them against big tech companies like Microsoft and Amazon. The telecom equipment market is under pressure, with demand from high-margin markets such as North America being replaced by growth in low-margin India, prompting rival Ericsson to lay off 8,500 employees.
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