» Nokia's luxury unit strives to meet high
demand
(August 2006)
The luxury unit of the world's top mobile handset
maker Nokia, Vertu, has seen strong demand this year
and is struggling to increase production to keep up,
a senior official said on Thursday.
Vertu targets wealthy customers by producing very
costly mobile phones made from platinum, gold and
diamonds.
"At the moment we cannot meet demand. Sales are more
than doubling this year. We hope that pace will
continue also next year," Chris Harris, Vertu's
marketing director, told Reuters on the sidelines of
a news conference.
Harris also said Vertu's new mobile phone model
would hit the shops next month and was expected to
boost sales.
Vertu does not reveal separate financial details,
and its numbers are included in those of Nokia's
Mobile Phones unit.
While analysts expect Nokia to sell about 330
million phones this year at an average of around 100
euros ($129) apiece, Vertu sells "tens of thousands"
of phones at prices topping 4,000 euros, Harris
said.
"We are not in the hundreds of thousands yet, but
our aspirations are there," he said.
Vertu has been reaping the rewards of a global
economy enjoying growth rates well above the average
for recent decades but there are signs the expansion
may be slowing, particularly in the key U.S.
consumer market.
