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Nokia Builds the Future in its Displays
June 05, 1997
Nokia Display Products is implementing a strategy of establishing Nokia as one of the leading brands in the fast growing professional user segment of the PC display market. Investment in the future is a central element in that strategy. Over half of the monitors produced by Nokia Display Products are currently sold under the Nokia brand, with OEM deliveries to major PC manufacturers accounting for the rest. In Europe, Nokia is among the leaders with a 10 per cent share of the performance monitor market. In North America, the other focal market, Nokia’s market share is expanding dynamically.
The PC display market closely tracks the PC market. The global PC market is currently growing at a rate of 20 per cent and Nokia believes that the growth of the PC and PC monitor markets will continue at a steady rate with no saturation of markets in sight. To meet growing demand, Nokia Display Products expanded its production capacity by opening, in the fall of 1995, a second production plant in Pécs, Hungary. The other plant is situated in Salo, Finland, where the company also has its R&D center.
Quality, innovation and user-friendliness form the core of the Nokia brand, according to Seppo Sutela, Nokia Display Products Vice President, Sales and Marketing. The trend-setting picture and sound quality of Nokia monitors is the result of consistent investment in research and development. In addition to its own substantial R&D resources, Nokia Display Products can benefit from the resources and pioneering expertise of Nokia Research Center.
Investment in upgrade features and user benefits
“Usability is a fundamental value guiding technology development in all Nokia units. Nokia Research Center has significant competence of its own in this area which Nokia Display Products is and will be utilizing. One of the challenges for us is that the professional users have high ergonomy demands,” notes Timo Ellilä, Vice President of Product Management.
The new application areas in which Nokia Display Products is investing substantially center on equipping the PC display with features that allow organizations to utilize their large stocks of PCs and monitors as communication tools. A vision inspiring Nokia engineers is new type of desktop communication with the PC display playing a central role.
Nokia displays with integrated audio and video features are designed for multimedia, Internet and video conference applications. All future Nokia monitors are set to feature the USB (Universal Serial Bus) technology, providing a universal interface for all external devices.
The product development concept of Nokia Display Products follows the Nokia Group’s corporate philosophy, summed up in the slogan of “Connecting People”. Offering innovative products in the fields of telecommunication, multimedia and displays, Nokia Group provides people with the means to satisfy their innate desire for mobility and communication.
“Nokia monitors are upgrade products. They have the features the performance user wants today and will want tomorrow. Our concept of future-proof technology involves that we are investing in the development of flat screen monitors. They are currently a niche product, but by the end of the century their share of the PC display market can be in the region of 5-10%. When the expansion gets underway, Nokia will be ready to expand its flat panel product range,” Seppo Sutela sums up.
Service to fit a brand
The growth strategy of Nokia Display Products involves no major changes in the established distribution channel. Logistics systems are being developed in North America and the other markets.
“Good service is integral to brand thinking. We have significant logistics projects and processes aimed at improved customer service. Our concept of service spans the whole chain from product information, advice and after-sales service all the way down to recycling. In a word, the customers get the service they are entitled to expect of a brand,” Seppo Sutela states.
He adds that OEM will remain a significant business area for Nokia Display Products. The OEM customers are big players in the PC market, providing an excellent opportunity for collaboration in the development of next-generation products.
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