Nokia unveiled its latest challenge to the iPhone today, the N97, as the Finnish mobile giant vowed it would transform the internet.
The touchscreen smartphone, which has a 3.5 inch screen and both a touchscreen and a glide-out Qwerty keyboard, is the latest handset in Nokia's N series. It follows the blockbuster N95, the handset which has so far sold 15 million, and the N96, which was released earlier this year.
The N97 is the latest handset to join an increasingly crowded smartphone market that includes the G1, which runs Google's Android software, the BlackBerry Storm, which went on sale last month, and Sony Ericsson's X1.
Nokia claims the N97, which is due to be released by the middle of next year, is "the world's most advanced mobile computer" and will boast new services that will transform the way people connect to the internet.
The phone comes with 32 GB of memory - more than twice the capacity of the most powerful iPhone on the market - with the option to expand this to 48 GB with a 16 GB memory card. This means it can store thousands more songs, or hours more video, than its rivals (up to 37 hours of music and 4.5 hours of video playback to be precise).
In a gentle dig at Apple, Anssi Vanjoki, Nokia's executive vice president of markets, who unveiled the phone, made the point that the N97 can access "the entire internet, not just piece of it" as, unlike the iPhone, it will be able to play the Flash videos used on many websites.
In another move that makes the N97 more like a mini-computer than a phone, the screen tilts to a 35 degree angle when the keyboard glides out, making it easier to see the screen while typing. It is a nice touch. I tried it out: your forefingers fit snuggly behind the screen making it more stable to hold and therefore easier to type. Unlike other slide-out Qwerty keyboards, as seen on handsets such as the G1 or the HTC Touch Pro, which feel quite clunky as they move into place, the N97 really does glide, or almost pivot, out. It is a very satisfying movement.
Like most of its rivals the N97 will run over HSDPA, the fastest type of mobile broadband, with speeds of up to 7.2 Mbps, and, although this is a feature surprisingly absent in the Storm, the N97 is wifi enabled.
While the hardware is impressive, it is the software that Nokia executives are most excited about and which they say will let users personalise the internet.
The N97 will sport internet widgets that can be moved around with your finger to personalise your home screen and a Nokia Messaging button - a single application that will enable you to access any webmail, e-mail and Instant Messanger accounts you might have.
The N97 also introduces so-called "SoLo", or social location, making it easier to update social networks automatically with real-time information. The phone's integrated A-GPS sensors and an electronic compass means it knows exactly where it is, and, if your friends allow it to, will know where they are too, opening up new possibilities for gaming and applications.
As Olli-Pekka Kallasvuo, Nokia's chief executive, told journalists at the Nokia World conference today, "By putting together your location, your contacts, you get mashups. I love this idea. Imagine what can happen when we mash up social networking and your location, when your device knows where you are, where your friends are and what they are doing. Your social location, or SoLo will become your here-and-now-identity."
A new, souped up version of Nokia Maps, which will include terrain and satellite maps, will allow users to plan their journey on their PC and then synchronise it straight to their phone. Because your phone knows where you are it can then suggest the best route to take, or, if you use it while driving, help you avoid traffic jams.
"Today, we are at the threshold of another profound change in the way we connect and interact with each other and with our world," Mr Kallasvuo said. "This is a world where you will have the power to tailor and personalise your internet how and when you like, to make your day-to-day life easier and more fulfilling."
The N97 will also sport another new Nokia service: "Point and Find". By using both the phone's camera (a 5 megapixel Carl Zeiss lens) and its inbuilt virtual compass and GPS, Point and Find means you will be able to point your mobile at a landmark, such as Big Ben, and immediately receive information about it from the internet. "It's combining the real world with the virtual world in real terms," Mr Vanjoki said.
In another dig, this time at Google, Mr Vanjoki said: "There's a company that says they can index the world. We are going to go deeper. We are going to coordinate the world. We are going to coordinate everything on a map. Not just a map that is standard like a Google Map, but a map that is dynamic, driving all the roads of the world, making sure we have coordinates for everything there is."
Nokia was the last major handset maker to launch a fully touchscreen phone and analysts had worried that it would lose out to rivals such as Apple and Samsung, as the N97 enters a crowded marketplace, and that its reliance on low to mid tier phones would weigh on its profit margins.
The N97 is Nokia's second touchscreen phone, following the 5800, also known as the Nokia Tube, which went on sale last month, and the group said today it would now introduce touchscreen phones across its portfolio. Some analysts fear the N97 may not be enough to re-establish Nokia's position in the high-end market.
"[The N97] might give Nokia a little edge," noted Carolina Milanesi, analyst at Gartner, the technology specialists, "but it is six months until this reaches the market."
Ben Wood, CCS Insight's research director, said: "Nokia tried to cram in lots of different technologies such as a touchscreen, full Qwerty keyboard and plenty of memory, but it had to make trade-offs in its size and features. It has ended up with a relatively thick device that lacks some of the benchmark features expected in flagship products in mid-2009."
But other analysts were more upbeat.
"With the N97, Nokia has produced the first phone that will truly challenge, and even transcend, Apple's best," said Robin Landy, of mobile phone review website Omio.com. "Nokia has brought together a lot of common smartphone features, such as GPS, wifi and 3G internet, in one gorgeous device. Crucially though, they've combined the standard stuff with features that really matter to users, but are often missing from rival handsets.
"A proper Qwerty keyboard will make a huge difference to the everyday user experience, and the huge amount of memory means that even people with large music collections can leave their iPods at home. The N97 lacks the in-your-face dazzle of the iPhone, but it does strike a balance between understated good looks and functional practicality."
The N97 wil cost 550 euro, or £470 but is expected to be subsidised by operators.
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