Nokia prices Lumia 920 higher than Samsung's Galaxy S III

By on September 27, 2012, 10:30 AM

Nokia has priced their upcoming Lumia 920 smartphone higher than Samsung’s Galaxy S III, a move that has analysts wondering how the Finnish phone maker plans on justifying the premium. In some markets, Nokia’s flagship phone will sell for 25 percent more than the S III.

Nokia said the Lumia 920 will retail for around 5,700 Swedish crowns before subsidy compared to the Galaxy S III’s asking price of 4,515 crowns. The gap is smaller in other countries like Italy, however, as Nokia’s phone will command 599 euros versus 530 for the Samsung counterpart. Germany residents can expect to shell out 649 euros for the high-end Lumia but only 530 euros for the S III.

Ovum analyst Nick Dillon points out that because the two phones are similar on a hardware level, it would be hard for Nokia to justify the extra cost to consumers. Furthermore, Windows Phone is still largely unknown to consumers who would expect to pay less for taking a risk.

Others, however, like Ben Wood from CSS Insight said Nokia’s new phones are expensive to make due to a number of new technologies. He believes they are pricing the phone as aggressively as possible while still maintaining pricing integrity.

Nokia plans to release the Lumia 820 and 920 handsets in Germany and Italy by mid-November. Denmark, Russia and Sweden will see the phone hit store shelves during the last quarter of this year. The company has yet to reveal launch information for the US where they’ve lost a huge portion of market share to Android and iOS devices.

User Comments: 11

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dcnc123 dcnc123 said:

Hmmm I wonder what the new features will be..

Guest said:

Insanely ovepriced.

treeski treeski said:

Insanely ovepriced.

Probably, but the Lumia 920 has a lot going for it over other premium devices. Depending on how well Nokia can market the phone and reach out to potential customers, it could be appropriately priced. Only time will tell...

Guest said:

Nokia should lower down the price, so it can tight the competition in the market against S3 and iPhone 5

lawfer, TechSpot Paladin, said:

Who cares, really? People in the US are going to buy this subsidized anyway. This won't be more than $199.

Uvindu said:

Insanely ovepriced.

Possibly, but we will have to wait till it's released until we can get it's Bill of Materials, but right now, my definition of overprices is the 64GB iPhone 5 with a Bill of Materials of $230 selling for $849. That's a margin of $619. Yes, there is administration costs and stuff, but still...

1 person liked this | Archean Archean, TechSpot Paladin, said:

Keeping in mind lumia 800, I am reasonably optimistic that 920 will not feel cheap and plasticky Like S3. Considering it's specs I'd like to see BOM for it as well. Anyway I think it probably is worth the price.

Guest said:

Build of materials isn't real cost of a phone. iOS6 development costs money (software developers are expensive). The marketing costs money. The hardware design/research/lab all costs money.

Apple's net profit margin on their annual finance report probably indicate better of how much money they are making from the phone. But definitely not a 200/600 ratio.

VitalyT VitalyT said:

So, Nokia, ...if I swap the desktop theme to something different, it will no longer match the phone's color, and it will look completely out of place. The stupidest styling idea I've seen yet.

Imagine buying a black tux, which you then want to swap for a brighter suit. Would you just swap the pants alone and carry on with the jacket? - Only if you want to look like a complete monkey...

2 people like this | Guest said:

The S3 is a copier ...the Lumia is not.

Guest said:

Then get grey, black, or white. Nice try bashing a company for offering a choice tho

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