Case 4:20-cv-07572-JSW Document 54-15 Filed 08/25/21 Page 1 of 6
`Case 4:20-cv-07572-JSW Document 54-15 Filed 08/25/21 Page 1 of6
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`8/11/2021
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`Nokia takes on Apple in music and cell phone
`Case 4:20-cv-07572-JSW Document 54-15 Filed 08/25/21 Page 2 of 6
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`TECH NEWS
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`Nokia takes on Apple in music and cell phone
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`Nokia, the world's top mobile phone maker, launched its free music package on Thursday, issuing a challenge to Apple's dominance of the
`digital music market.
`
`Nokia, the world's top mobile phone maker, launched its free music package on Thursday, issuing a challenge to Apple's dominance of the digital
`music market. The Finnish firm also launched its first touchscreen phone, the 5800 XpressMusic, to rival Apple's popular iPhone. Ho / REUTERS
`
`
`
` / Source: ReutersOct. 2, 2008, 12:57 PM CDT
`By By Tarmo Virki
`
`LONDON — Nokia, the world's top mobile phone maker, launched its free music package on Thursday, issuing a challenge to
`Apple's dominance of the digital music market.
`
`The Finnish firm also launched its first touchscreen phone 5800 XpressMusic to rival Apple's popular iPhone.
`
`Nokia said at an analyst and media event in London it would start selling the phone shortly, pricing it at the equivalent of $395
`excluding subsidies and taxes, which it said was roughly half the price of the other main touchscreen phones on the market.
`
`"The price and positioning of the product may result in substantial demand and will undoubtedly put some pressure on Apple,"
`said Ben Wood, research head at CCS Insight.
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`https://www.nbcnews.com/id/wbna26993686
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`1/5
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`Nokia takes on Apple in music and cell phone
`8/11/2021
`Case 4:20-cv-07572-JSW Document 54-15 Filed 08/25/21 Page 3 of 6
`The price means consumers in large markets will get the phone for free from operators when agreeing to sign a contract. The
`company also will be able to make a dent in emerging markets.
`
`"We expect it to be listed with most of the (mobile phone) operators," Jo Harlow, head of music phones, told Reuters in an
`interview.
`
`Nokia said all major music labels and most independent labels will offer their tracks as part of Nokia's "free" music bundle "Comes
`with Music," raising the total number of tracks to around 5 million.
`
`"Apple's days of dominant digital music retailer outside the United States are numbered, if they don't do anything radical," said Rob
`Wells, head of Universal's digital music business.
`
`Apple controls slightly more than half of global digital music sales through its iTunes store.
`
`Nokia said it aims to offer the music service next year on Apple's home ground in the United States, the world's largest music
`market.
`
`"In a market where price and selection are so much more important than brand to consumers, Apple cannot count on retaining
`users when competing with an offering which seems free to the end user," said Stratey Analytics' David MacQueen.
`
`"Comes with Music" and similar products from other hardware vendors could help the music industry make up for falling CD sales
`and cut illegal downloads.
`
`Crowded field
`The battle for mobile music is increasingly crowded. Sony Ericsson launched its music package this month in Sweden, and South
`Korea's LG Electronics plans a service similar to Nokia's.
`
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`Nokia's package will differ from others on the market since users can keep all the music they have downloaded during the
`subscription period of 12 or 18 months. There are no charges for tracks downloaded as the cost is bundled to the phone price.
`
`Analysts and music industry players said Nokia's offering could bring free music to millions of consumers and change the music
`industry significantly.
`
`"The introduction of mobile handsets featuring unlimited music downloads out-of-the-box will bring about a fundamental change
`in the way the mass-market consumes digital music," said Rob Lewis, chief executive officer of British digital music firm Omnifone.
`
`Push into services
`The music download package is Nokia's first major push into the services business. Last year the company unveiled a revamp of its
`whole organization, aiming to build a new business from internet services to combat slowing growth in sales of handsets.
`
`Nokia has acknowledged the impact Apple has made on the industry with its iPhone over the past year, saying the Cupertino,
`Calif.-based computer and consumer electronics company had done the mobile phone industry "a big favor."
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`https://www.nbcnews.com/id/wbna26993686
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`2/5
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`Nokia takes on Apple in music and cell phone
`8/11/2021
`Case 4:20-cv-07572-JSW Document 54-15 Filed 08/25/21 Page 4 of 6
`"We have a new, credible competitor in this business," Nokia Chief Executive Olli-Pekka Kallasvuo told the Churchill Club on
`Wednesday, a speakers' forum for Silicon Valley civic leaders.
`
`"Of course we need to be able to respond to any competitor and we will."
`
`Nokia will launch the package in Britain, the world's third largest music market. United Kingdom retailer, Carphone Warehouse,
`will start selling the products on Oct 16.
`
`Analysts said the choice of a relatively cheap model was a clear indication Nokia was trying to win over consumers who often are
`not paying for music but getting it through file-sharing sites on the Internet.
`
`"If you have access to everything, what's the need for pirated music?" said Universal's Rob Wells.
`
`(Additional reporting by David Lawsky in San Francisco and Eric Auchard in Santa Clara, Sinead Carew in New York and Agnieszka
`Flak in Helsinki; editing by Carol Bishopric)
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`Nokia takes on Apple in music and cell phone
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