Nokia changes its classic logo to signal a change in strategy

“Before it was associated with smartphones, but now we are an enterprise technology company,” Chief Executive Pekka Lundmark told Reuters on the eve of a company presentation ahead of the Mobile World Congress (MWC), which is being held in Barcelona from Monday to March 2.

After assuming the management of the Finnish company in 2020, Lundmark established a strategy in three phases: reset, accelerate and scale. With the reset stage complete, Lundmark said the second is starting.

Although Nokia continues to aim to grow its service provider business, in which it sells equipment to telecommunications companies, its main focus now is to sell equipment to other companies.

“Last year we registered an excellent growth of 21% in the business sector, which currently represents 8% of our sales, that is to say, 2,000 million euros (2,110 million dollars) approximately,” said Lundmark. “We want to reach double digits as soon as possible.”

Big tech firms have been partnering with telecommunications equipment makers like Nokia to sell private 5G networks and automated factory equipment to customers, mostly in the manufacturing sector.

Nokia plans to review the growth path of its different businesses and consider alternatives, including divestment.