Handset giant Nokia on Wednesday said it is putting Microsoft Exchange mobile email capability into 80 million of its phones, a move that places it squarely on a collision course with BlackBerry maker Research In Motion.
According to terms of Nokia’s deal, users of some of the Finnish company’s smartphones will be able to set up mail for Exchange for free on their phones without paying additional service or subscription fees.
Microsoft Exchange is the most popular corporate or enterprise email technology.
“The enterprise market is not as fickle around pricing as the consumer market, and you can make a lot of money on handsets and data revenue, so it’s not surprise that Nokia made this move,” said Shahid Khan, senior partner at IBB Consulting.
RIM, which owns about 53.6 percent of the U.S. smartphone market, according to IDC, has a surprisingly tight lock on the corporate market. (see RIM Grabs Over Half the Smartphone Market)
“RIM has been able to maintain a very high price for its handset and many like the Apple and now Nokia are trying to steal some market share but RIM has learned a lot about that market and it will be difficult to unseat,” said Tim Farrar, president of Telecom Media and Finance Associates.