N-Gage launches

News - But fears surround Nokia's optimism

Nokia's N-Gage handheld went on sale today, but fears remain about what likely success the game deck/mobile platform will enjoy. It is an expensive device, with prices for the handset alone ranging from 299-360 Euros, though many European operators have suggested that cheaper handsets (around 99 Euros) will be available to those signing up to a tariff in excess of 25 Euros a month; deals between operator's, store's and of course country's do vary wildly however. Nokia has said that it aims to sell between six and nine million units in its first year - between now and the end of 2004. That's quite a lot of units though the Finnish mobile giant are splashing over 150 million Euros on launching the wee beast; so expectations are clearly high.

As one analyst told Reuters today, "this is a very big investment for Nokia and it was prepared so thoroughly that it does not hinge on one day. The Christmas market will be decisive here," commented a Helsinki-based broker.

Of course, the N-Gage being the first gaming/mobile product ever to go on-sale, this is a big risk for Nokia, but one the company felt was necessary amid declining handset sales. Naturally, the firm hope to take a bite out of Nintendo's dominance in the gaming handheld market - and will want to build up a strong base of customer's ahead of next year's Sony PSP launch. Regardless of the end result, these are certainly fascinating times for the newly competitive gaming handheld sector.