HMD Global to sell phones under its own brand name alongside Nokia devices

HMD Global to sell phones under its own brand name alongside Nokia devices

HMD Global recently announced it will be selling phones under its own brand name. 

Jean-Francois Baril, the CEO of HMD Global, shared in a LinkedIn post that the company will be "establishing an original HMD brand" and consumers can expect "to see a new portfolio of HMD branded mobile devices" alongside Nokia devices and "collaboration with exciting new partners".

The HMD-branded phones are expected to be high quality, durable, affordable and eco-friendly to reduce electronic waste and be more sustainable.

The announcement also adds that HMD Global is the fastest-growing 5G smartphone manufacturer year on year.

The reason for this move might have something to do with Nokia. You see, Microsoft sold the rights to the Nokia brand name to HMD Global in 2016. However, this deal only lasts for ten years, which means it has to be renewed in 2026.

In 2017, HMD Global rebooted the Nokia smartphone story with a series of phone launches. In 2020, Google and Qualcomm invested in HMD Global to help "accelerate" its goal to make 5G phones accessible to more people around the world.

With the global license for the Nokia brand expiring in 2026, it remains to be seen if it will be renewed. Establishing its own brand of phones might be a hedge against a situation where the Nokia brand license is not renewed.

Source: Jean-Francois Baril (LinkedIn)