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Cellphones Advertising Businesses Microsoft The Almighty Buck Windows

It Costs $450 In Marketing To Make Someone Buy a $49 Nokia Lumia 363

Posted by Soulskill
from the or-4.50-on-a-box-of-shells dept.
benfrog writes "According to market-share estimations compared to marketing dollars, it costs nearly ten times as much to sell the Windows Phone-based Nokia Lumia as it does to buy one. Other analysts agree with the low sales numbers."
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It Costs $450 In Marketing To Make Someone Buy a $49 Nokia Lumia

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  • Re:Subsidized price (Score:5, Informative)

    by Anonymous Coward on Monday July 16, 2012 @11:33PM (#40669485)
    Er, would it make you feel any better if the summary said it costs 450 dollars to make people pay the upfront cost of $49 for a Nokia Lumia? The point still stands. Windows Phone 7 is a failure. People have been calling it since the beginning yet the fanboys kept saying wait 'til NoDo, wait 'til mango, wait 'til Nokia, wait 'til Lumia 900, blah blah blah. It failed. Accept it. And it failed for quite a few reasons. Here, I'll list them. All of them.

    OS LIMITATIONS

    1. No true multitasking for 3rd party apps - they re frozen in the background.

    2. No Divx/Xvid video codec support. Zune will convert with loss of quality.

    3. No mass storage mode.

    4. No micro-SD card support.

    5. Only support up to 16GB storage .

    6. No filemanager. Directory system is totally opaque.

    7. Need Zune to transfer files. Zune will only transfer photos, videos & music. All other files need to email/upload to yourself.

    8. Your contact details are automatically uploaded to cloud service whether you like it or not.

    9. Limited to 800x480 resolution.

    10. Voice search is hardwired to Bing.

    11. Cannot use any MP3 file as ringtone except those with strict constraints.

    12. Cannot set static IP address so no connection to ad-hoc networks.

    13. No VPN support for this âoecorporate enterpriseâ phone.

    14. Cannot sync directly with Outlook without syncing to Cloud

    15. Totally closed OS, cannot sideload apps outside MS Marketplace.

    16. System font size cannot be changed.

    17. Images and photos cannot be renamed in the phone.

    18. Windows Live ID account cannot change country once set.

    19. No centralized notification page.

    20. Alarm clock cannot work when phone is turned off. All Nokia Symbian and Meego phones can do this.

    21. The idle screen is completely blank and cannot display time or notifications.

    22. Only photos allowed as email attachments, documents not allowed.

    23. No way to stream audio to the majority of car audio systems as the most common Bluetooth rSAP profile is not implemented.

    24. Cannot stream audio from video playback to Bluetooth devices as A2DP profile is not implemented.

    25. No support for full on-device encryption required for secure applications like mobile banking and online payment.

    26. Cannot use Bluetooth keyboard (no HID profile)

    27. Cannot silence ringtone or alarm by flipping the phone.

    28. Very limited customization option.

    29. Cannot be upgraded to WP8 (Apollo)

    USABILITY ISSUES

    30. No always visible status bar for battery life, signal strength, carrier ID, 2G/3G wi-fi, Bluetooth on.

    31. Taskmanager has no option to shut down apps you donâ(TM)t want running in the background.

    32. Search and Back button cannot be de-activated in apps or games and easily touched by accident which interrupt your user experience.

    33. Lockscreen need to be activated to show missed call/sms notification.

    34. No way to close an app except pressing back button all the way to the first screen.

    35. Tiny fonts in messages is very hard to read for those over 45.

    36. Cannot create and save playlists on the phone.

    37. Playlist can only be edited when you are playing it.

    38. Cannot search your music collection on the phone, only in the Marketplace.

    39. Cannot close music player, can only pause. Music player on lockscreen will stay until you reboot. Be careful not to touch it in a meeting.

    40. No draggable progress bar for current track playing and no indication which track in an album is currently playing

    41. Cannot lock screen orientation.

    42. Online and phone contacts are mixed together with no ability to filter.

    43. Search button in dialer does not search contacts for dialing, but search call history.

    44. Cannot save draft sms messages.

    45. Call history only show phone number type. If a contact has multiple phone nos. for a type the number used is unknown.

    46. Cannot recognize phone numbers in sms or email to save or use as calling number.

    47. Text messages can only be deleted one by one or the whole thread.

    48. Cannot select multiple pictures for deleting, sending or uploading. They must be done one at a time.

    49. No way to see photo details - dimension, date/time taken, file size, etc

    50. Apps are listed alphabetically with no way to group by category. Can be hard to find if you donâ(TM)t remember the name.

    51. Calendar scheduler has no weekly view and monthly view is non-zoomable.

    52. No peak time/off-peak time scheduling for email downloads to prevent unnecessary email downloads at overnight.

    53. If both wi-fi and data connection are available which one it chooses to use is unpredictable. User experiences donâ(TM)t agree with Microsoft that it âoetypicallyâ choose wi-fi over 3G.

    FEATURE LIMITATIONS

    54. No live wallpaper, no widgets, no themes

    55. No haptic feedback for keyboard.

    56. No Swype.

    57. No flashplayer support.

    58. No support for Java apps.

    59. No call recording or app to do it.

    60. No call blocking or app to do it.

    61. No screenshots or app to do it.

    62. No auto wallpaper changer and no app to do it.

    63. Totally locked down os means apps which interact directly with hardware not allowed. This excludes a whole range of useful apps

    64. No equalizer for Zune music player.

    65. No data traffic counter and no app to do it.

    66. IE browser has no text reflow, no download capability and no offline reading.

    67. No 3rd party browsers allowed except those based on IE.

    68. Volume up/down buttons cannot be used to zoom in camera (sign of an immature os)

    69. Cannot open zip or rar files received as email attachment.

    70. Cannot send or receive video by MMS.

    71. Office Mobile has much less features than 3rd party Office editors like SmartOffice, QuickOffice and Polaris. Shame on you, Microsoft!

    72. No native Google maps and Bing maps is useless for most countries outside U.S.

    73. Email time stamp does not show the year.

    74. Wide difference in apps availability in different markets and users locked to one market.

    75. Not all Bing features available outside U.S. especially Local Scout

    DUMB AND DUMBER

    76. One volume control for all functions including media playback, ringtones, alarms, notifications.

    77. Wi-fi disconnects when screen sleeps. If 3G is available background updates will use 3G and use up your data plan.

    78. If you receive a text message when talking on the phone an audio alert will blast your ear at the full volume set. All other phones will give a soft beep.

    79. Can only enter one mobile phone no. for each contact. Mobile nos. entered in other fields will not accept sms.

    80. Cannot send/receive MMS without enabling 3G data connection. MMS does not use 3G data.

    81. Phone cannot be charged when off.

    82. Need to be plugged in to wall charger to sync wirelessly (a funny definition of wireless).

    83. Oversized fonts for headings waste screen space and result in low information density

    84. Phone will wake up and display sms content on lockscreen when locked â" a privacy violation.

    85. Phone can be rebooted without entering security code.

    FEATURES EVEN DUMB PHONES HAVE BUT WP7.5 DOESNâ(TM)T

    86. No bluetooth file transfer.

    87. Cannot handle USSD codes necessary for prepaid users to obtain services.

    88. Cannot filter call history into Missed Calls, Received Calls, Dialled Calls, Recent Calls, etc

    89. No way to backup or export call history

    90. Cannot show call duration in call history.

    91. No way to edit MMS profile to work with a carrier in the OS. Need an app which is not available in all markets.

    92. Call history does not group calls by contact.

    93. Call history does not show the time of call for calls older than current day.

    94. Cannot set custom sounds for different types of notifications.

    95. No ringer profiles.

    96. No silent option (no vibrate and no ring) from ringer menu. Need a trip to settings and another trip to revert.

    97. Cannot send/receive contact as a csv file.

    98. Cannot backup your contacts or sms to PC.

    99. Cannot save contact to SIM card.

    100. Cannot change alarm ring tone or use a MP3 file.

    101. Cannot set alarm snooze interval.

    BONUS SHORTCOMINGS

    102. Unable to read long names in audio and video playlist as they get cut off

    103. Zune does not allow user to add or update podcasts directly from the phone

    104. Zune can only be installed if you have an internet connection

    105. Alarm does not revert to speaker if headphones are plugged in.

    106. Forwarded emails cannot be edited

    107. OS does not reduce volume of text message alerts when using headphones

    108. Generally force users to use IE, Bing and SkyDrive by shutting out competitors or tying OS features to them.

    109. Wifi- hotspot and internet tethering not integral features in the OS but need to be provided by manufacturer on a case by case basis.

    110. Internet Explorer has no forward button for page views.

    111. Mobile Office cannot edit Office 97-2003 documents which competing Office editors and WP7 can. Typical Microsoft strategy to force users to upgrade.

    112. Embedded images in emails do not download

    113. Bing maps need to tap to get voice direction for next turn.

    114. No Silverlight support.

    115. Compass gives wrong reading in the Southern hemisphere due to bad API in the OS.

    116. 3rd party apps cannot put notifications on the lockscreen

    117. Cannot be charged up when battery is completely dead. (Lumia specific)

    118. No support for lossless audio format like FLAC and WMA lossless

    119. No HDMI output (Lumia specific).

    120. No data usage monitor and no app to do it.

    121. No over the air (OTA) firmware upgrade. All upgrades must be via PC installed Zune.

  • Re:Subsidized price (Score:0, Informative)

    by Anonymous Coward on Monday July 16, 2012 @11:43PM (#40669543)
    I've seen this list before. Half of them are not true, the other half are fixed with Windows Phone 8.
  • Re:Subsidized price (Score:5, Informative)

    by Thruen (753567) on Monday July 16, 2012 @11:49PM (#40669575)
    Addendum: T-Mobile will offer a lower price if you bring your own phone. The carriers that matter still don't though.
  • Re:Subsidized price (Score:5, Informative)

    by Anonymous Coward on Monday July 16, 2012 @11:52PM (#40669597)
    Actually, they are all true. Furthermore, the GP was obviously specifically referring to Windows Phone 7 which is what the article is about. Please try to keep up.
  • by Google Fanboy (2685769) on Monday July 16, 2012 @11:58PM (#40669619)
    Uh, Nokia haven't abandoned their other OSs. They're still selling Symbian, dumb and Linux phones.
  • Re:I Wish (Score:2, Informative)

    by Anonymous Coward on Tuesday July 17, 2012 @12:48AM (#40669851)

    Mine did.
    http://en.wikipedia.org/wiki/Nokia_C1-01 [wikipedia.org]

    No contract. SIM phone. Basically it's a really really good clock-radio, with a decent mp3 player, a useful electronic calendar etc etc etc, that just happens to include an okay phone too when I want to spend $10 for 30 days of Fido airtime.

    The camera's a bit of joke by modern standards, but it's actually good enough for 'make a note of that' shots.

    And yup... this is exactly the type of /excellent/ cheap phone that Nokia made their rep on so you'd buy Nokia when you upgrade, and that they're now cancelling. Full facepalm.

  • by Luckyo (1726890) on Tuesday July 17, 2012 @12:49AM (#40669859)

    They have been officially in process of abandoning symbian since 2011 or so, and it will officially end in total abandonment in 2016. In reality, symbian has been largely abandoned marketing wise back in 2011 along with the catastrophic "platform burning" memo which made sales go from "increasing by about 5% yearly" to "total collapse" overnight.

    Linux smartphone is 100% abandoned. Meego has been abandoned before N9 was even properly out, with team developing it long disbanded. N9 is no longer manufactured and they're just selling the rest of the stock. There has been virtually no marketing push behind N9 either. Fun trivia: it still outsold all lumia phones to date.

    Dumb phones are still going, but how long they will last is anyone's guess. Elop has finally gotten around to axing meltemi dev team (linux based dumbphone OS), which means that nokia essentially has no OS for dumbphones past 2016, when it's supposed to fully abandon symbian. WP is unsuitable for dumbphones due to both hardware requirements and software pricing, and Elop's clear main goal is to make nokia into a 100% WP OEM and nothing more. That makes dumbphone division future into a very big question mark.

  • Re:Subsidized price (Score:3, Informative)

    by Anonymous Coward on Tuesday July 17, 2012 @01:15AM (#40669991)

    You are either a class A shill or you don't even own a Windows Phone at all. Most of what you are saying is false is actually true and a lot of your other points are just making excuses for what the OP is criticising. That's weak sauce and if you actually give a shit about windows phone, maybe you should face the facts of its shortcomings instead of trying to lie your way through.

    Disclaimer: HD7 owner.

  • Re:Subsidized price (Score:1, Informative)

    by scream at the sky (989144) on Tuesday July 17, 2012 @02:02AM (#40670191) Homepage
    I just wasted 3 mod points, but this pisses me off... For the record, I sell these things for a living, and have had a WP7 (now 7.5) phone in my pocket for nearly 24 months. It's not perfect, but I like it, a lot, and I really expected not to when I received my first device.

    Er, would it make you feel any better if the summary said it costs 450 dollars to make people pay the upfront cost of $49 for a Nokia Lumia? The point still stands. Windows Phone 7 is a failure. People have been calling it since the beginning yet the fanboys kept saying wait 'til NoDo, wait 'til mango, wait 'til Nokia, wait 'til Lumia 900, blah blah blah. It failed. Accept it. And it failed for quite a few reasons. Here, I'll list them. All of them.

    OS LIMITATIONS

    1. No true multitasking for 3rd party apps - they re frozen in the background.
    So what? It's a phone. I don't understand the desire to run 30 apps at once, one a phone.

    2. No Divx/Xvid video codec support. Zune will convert with loss of quality.
    I've never once watched a movie on my phone and expected amazing quality, it's a mobile device with a 4.3" screen, it's not going to be immersive no matter what the codec used is.

    3. No mass storage mode.
    Yep, same can be said about iPhone....

    4. No micro-SD card support.
    Yep, same can be said about iPhone...

    5. Only support up to 16GB storage .
    Yep, same can be said about iPhone (depending on the device chosen, it can also be said iPhone only supports 8GB...)

    6. No filemanager. Directory system is totally opaque.
    Yep, same can be said about iPhone (noticing a trend yet?)

    7. Need Zune to transfer files. Zune will only transfer photos, videos & music. All other files need to email/upload to yourself.
    Yep, sounds like iTunes...

    8. Your contact details are automatically uploaded to cloud service whether you like it or not.
    Wrong, this can be disabled. I don't have a single contact stored in the cloud on my LG Optimus Quantum. It's actually never had a data features used, 3G or WiFi.

    9. Limited to 800x480 resolution.
    Yep, for now, and I admit this is a pain.

    10. Voice search is hardwired to Bing.
    Yep, and it still works better than Siri if you live outside of the US.

    11. Cannot use any MP3 file as ringtone except those with strict constraints.
    Damn, I won't sound like a douche when my phone rings. Defaults ring tones aren't a bad thing.

    12. Cannot set static IP address so no connection to ad-hoc networks.
    I haven't used an ad-hoc network in a decade. Does this really matter?

    13. No VPN support for this âoecorporate enterpriseâ phone.
    WP7 had been aimed at the consumer market since day one, make up your mind about what matters more, consumer or corporate. My corporate BlackBerry has ringtones locked to a single tone (Classic Phone I think it is called, and I can't change it. I'm fine with it.)

    14. Cannot sync directly with Outlook without syncing to Cloud
    Just like BlackBerry and Android or iOS, using either BES or Exchange ActiveSync

    15. Totally closed OS, cannot sideload apps outside MS Marketplace.
    Again, sounds a lot like an iPhone and iTunes....

    16. System font size cannot be changed.
    Mild pain in the ass, I have never felt the need to change it, it's not like my BB where the font is too small to read by default.

    17. Images and photos cannot be renamed in the phone.
    Sounds (again) like my iPhone, which I admit I haven't used for a while.

    18. Windows Live ID account cannot change country once set.
    Can your gmail account for Android be region changed? I honestly do not know.

    19. No centralized notification page.
    THANK GOD. I don't want every thing in one place. Discrete notifications are one of my favorite features.

    20. Alarm clock cannot work when phone is turned off. All Nokia Symbian and Meego phones can do this.
    Symbian is dying and starting to smell bad. Meego was D

  • Re:Subsidized price (Score:2, Informative)

    by Anonymous Coward on Tuesday July 17, 2012 @02:13AM (#40670227)

    Damn, dude, yes I am seeing a trend in hour comment and it isn't what you are thinking. The trend is excuse...excuse...excuse...finger pointing...excuse...excuse...finger pointing...

    This is why I can't stand windows phone fans. You people won't own up to the failings of your platform of choice you just make continual excuses. Guess what bub, that don't sell phones. Windows Phone 7 failed. Even MS knows this so they are changing the kernel and significantly tweaking the interface. Its over, man. Accept it.

  • by 0100010001010011 (652467) on Tuesday July 17, 2012 @02:46AM (#40670399)

    how long they will last is anyone's guess

    As long as there are developing countries one would imagine. The Nokia 1100 is the world's best selling phone. 250 million 1100's have been sold since its launch in late 2003. Nokia has recently come up with a replacement the Nokia 110 (that I'm really hoping to get a hold of).

    I have a GSM smart phone. It does tricks like check my e-mail and weather. But the other 90% of the time I'm just carrying the 1100. The battery on standby lasts a week give or take. If It gets dropped I don't worry about the screen cracking. And if I'm ever mugged I can always bludgeon the mugger with it.

  • Re:Subsidized price (Score:3, Informative)

    by vrt3 (62368) on Tuesday July 17, 2012 @04:11AM (#40670827) Homepage

    Heineken in bars in Belgium, let alone Heineken-only bars? Where was that?
    In Belgium, bars serve beer. That means no Heineken.

  • by hkmwbz (531650) on Tuesday July 17, 2012 @06:42AM (#40671883) Journal

    Android didn't get popular until the Droid came out with their keyboard, giving it that differentiation from the iPhone

    That doesn't even begin to make sense. The very first Android phone had a physical keyboard!

    So if you want to look for hooks, that most certainly is not it. I suspect there is none.

  • by FearTheDonut (2665569) on Tuesday July 17, 2012 @06:49AM (#40671953)
    I'd disagree - The worst CEO of all time is Jerry Yang. Elop took a gamble (and appears to be losing miserably). Yang demolished his stock price simply because he "didn't want Darth Vader buying his company."

    If Yang would have sold Yahoo to Microsoft, Microsoft would be in even worse condition AND Yahoo's shareholders would have been thrilled.

What this country needs is a dime that will buy a good five-cent bagel.

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