In the best favor of the company, the new management at Nokia feels that the Ovi services brand should now be done away with. The world’s largest cellphone maker in terms of volume, Nokia had launched its Ovi services brand back in 2007, that aimed at offering maps and music services to its customers.
Back then, the entity was strongest in the domain holding around 40% of the market ground in terms of cellphone handset sales.
“This move dismantles Nokia’s dedicated Ovi services brand which was a cornerstone of the former management’s services strategy,” said Ben Wood, head of research at British wireless consultancy CCS Insight.
Ovi, that’s Finnish for door, headed Nokia’s push into services, a key strategy of previous CEO Olli-Pekka Kallasvuo. At its height analysts estimated Ovi-branded services would contribute 2 euros per share to the value of the entity.
“The reasons for this decision includes the fact that Nokia is a well-known and highly-loved brand the world over. Our mobile experiences are tightly integrated with our devices, there is no longer a differentiation,” Nokia’s marketing chief Jerri deVard said in a statement.
Nokia has been downsizing several Ovi services over the past couple of years and is focusing mostly on location-linked offerings of late. Nokia said that it would start to refurbish the Ovi services from July later this year.