It's the mixture of products with more basic phones being sold in emerging markets and that's gonna shift your ASP.
Nokia has proven that there is a sizeable market of consumers in Europe, North America and Japan who are looking to replace their phones with a more powerful device that can do instant messaging, photography, music.
Year on year sales grew in all regions as replacement sales in mature markets such as Western Europe and North America continued to drive growth while users in emerging markets joined mobile networks and acquired their first mobile device.
Although their market share is going up, this is putting pressure on their margins and profits,
We will see more of the same in 2006...smaller vendors will be faced with an option to exit the market or partner with someone.