September 27, 2020

HMD receives $230 million in financing from investors including Google and Qualcomm

2 min read

HMD is a smartphone manufacturer authorized by the Nokia brand. Most of HMD’s founding team members are also from the original Nokia team in Finland.

The company announced a few days ago that it has received $250 million in financing from investors such as Google and Qualcomm, which will be used for the research and development of HMD 5G smartphones.

At the same time, HMD will use the 250 million US dollars of funds to expand in the Brazilian, African, and Indian markets, and expand from hardware to software and services.

The overall development of HMD, which has obtained the authorization of the Nokia brand, is fairly smooth. With the help of Nokia’s brand reputation and HMD’s own services, many fans have been gained.

Nokia 5.2
“Nokia” by Open Grid Scheduler / Grid Engine is licensed under CC0 1.0

Unlike the strategy used by most smartphone manufacturers, HMD’s market positioning is very comprehensive, and the company is even now producing a large number of feature phones.

Although these feature phones are inferior to smartphones in terms of functions, they are very cheap and durable. Therefore, they still have a large market in poor areas of Africa and India.

In terms of smartphones, HMD mainly launches low-end equipment, but also has a small amount of high-end equipment, but the competitiveness of HMD in the field of high-end equipment is not very strong.

While continuing to sell cheap feature phones to the African market, the company is waiting for the transition from feature phones to smartphones in the African market to sell more Android smartphones.

Via: TechCrunch