"The Asha family is doing a good job competing with lower-end Android products. It underlines the fact that the mobile phone business is the engine that supports the smartphone transition," said Blaber.
The Asha phones and the underlying Series40 OS have been built with developing markets in mind from the ground up, including long battery lives and integrated data compression.
"That is something inherent in how the products have been designed, as opposed trying to take older versions of Android and cram them on cheaper hardware platforms," said Elop.
Also, the Nokia Siemens Networks equipment business increased its net sales by 3 percent year-on-year.
Nokia expects the fourth quarter to again be a challenging quarter with a lower-than-normal benefit from the holiday shopping season, primarily due to the transition to Windows Phone 8 and its ramp-up plan for new devices, it said.
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