History of Nokia

Nokia's history starts in 1865, when engineer Fredrik Idestam established a wood-pulp mill in southern Finland and started manufacturing paper. Due to the European industrialization and the growing consumption of paper and cardboard Nokia soon became successful. In 1895 Fredrik Idestam handed over the reins of the company to his son-in-law Gustaf Fogelholm. Nokia's products were exported first to Russia and then to the UK and France. The Nokia factory attracted a large workforce and a small community grew up around it. A community called Nokia still exists on the river bank of Emkoskiin southern Finland.

The Nokia Community attracts other Companies

The hydroelectricity (from the river Emkoski) which the wood-pulp mill used also attracted the Finnish Rubber Works to establish a factory in Nokia. In the 1920s, the Rubber Works started to use Nokia as their brand name. In addition to footwear (galoshes) and tyres, the company later went on to manufacture rubber bands, industrial parts and raincoats.

Expanding into Electronics

After World War II the Finnish Rubber Works bought the majority of the Finnish Cable Works shares. The Finnish Cable Works was a company that had grown quickly due to the increasing need for power transmission and telegraph and telephone networks. Gradually the ownership of the Rubber Works and the Cable Works companies consolidated. In 1967 the companies were merged to form the Nokia Group (link to Nokia company logos). The Finnish Cable Works had manufactured cables for telegraph and telephone networks and in the 1960 they established the Cable Works Electronics department. At this time the seeds of Nokia's global success in telecommunications were planted. In 1967, when the Nokia Group was formed, Electronics generated three percent of the Group's net sales and provided work for 460 people.

The Journey into Telecommunications

Nokias Cable Work's Electronics department started to conduct research into semiconductor technology in the 1960s. This was the beginning of Nokias journey into telecommunications. In the early 1970s, the majority of telephone exchanges were electromechanical analog switches. Nokia began developing the digital switch (Nokia DX 200) which became a success. Nokia DX 200, which was equipped with high-level computer language and Intel microprocessors gradually evolved into the multifaceted platform that is still the basis for Nokia's network infrastructure today. At the same time, new legislation allowed the Finnish telecommunications authorities to set up a mobile network for car phones that was connected to the public network. The result was Nordic Mobile Telephony (NMT). Opening in 1981, NMT was the world's first multinational cellular network. During the following decade, NMT was introduced in many other countries and launched the rapid expansion of the mobile phone industry. At the end of the 1980s a common standard for digital mobile telephony was developed. This standard is known as GSM (Global System for Mobile Communications). In 1991 Nokia made agreements to supply GSM networks to nine European countries and by August 1997 Nokia had supplied GSM systems to 59 operators in 31 countries.

New Products
During the 1980s, Nokia's operations rapidly expanded to new business sectors and products. The strategy was to expand rapidly on all fronts. In 1988, Nokia was a large television manufacturer and the largest information technology company in the Nordic Countries.

Focusing on Telecommunications
During the deep recession in Finland at the beginning of the 1990s, the telecommunications and mobile phones divisions were the supporting pillars of the Nokia. Despite the depth of the recession, Nokia came to its feet quickly as the company started streamlining its businesses. In May 1992 Nokia made the strategic decision to divest its non-core operations and focus on telecommunications. The company's 2100 series phone was an incredible success. In 1994, the goal was to sell 500,000 units. Nokia sold 20 million.

In 1992, Nokia decided to focus on its telecommunications business. This was probably the most important strategic decision in its history. As adoption of the GSM standard grew, new CEO Jorma Ollila put Nokia at the head of the mobile telephone industrys global boom and made it the world leader before the end of the decade..

1992: Jorma Ollila becomes President and CEO

Jorma Ollila becomes President and CEO of Nokia, focusing the company on telecommunications.

How telecommunications become Nokias core

When Jorma Ollila became President and CEO of Nokia in 1992, the company made a crucial strategi During the 1990s, rubber, cable and consumer electronics divisions were gradually sold as the company moved to concentrate on communications.

Nokias core business was now:

manufacturing mobile phones manufacturing telecommunications systems

The strategy was to prove a big success, as Jorma Ollilas long-term vision propelled Nokia onto the world stage.

1992: Nokias first GSM handset

Nokia launches its first GSM handset, the Nokia 1011.

1994: Nokia Tune is launched

Nokia launches the 2100, the first phone to feature the Nokia Tune.

Nokia ringtone has classical roots

The Nokia Tune is probably one of the most frequently played pieces of music in the world. The company introduced it as a ringtone in 1994 with the Nokia 2100 series, which went on to sell 20 million phones worldwide. Nokias target had been 400,000. Ringtones have come a long way since 1994, and new phones offer dozens of choices in a variety of formats. With the right phone, you can even create your own.

1994: Worlds first satellite call

The worlds first satellite call is made, using a Nokia GSM handset.

1997: Snake a classic mobile game

The Nokia 6110 is the first phone to feature Nokias Snake game.

1998: Nokia leads the world

Nokia becomes the world leader in mobile phones.

1999: The Internet goes mobile

Nokia launches the world's first WAP handset, the Nokia 7110.

Nokias story continues with 3G, mobile multiplayer gaming, multimedia devices and a look to the future...

2002: First 3G phone

Nokia launches its first 3G phone, the Nokia 6650.

Nokia launches mobiles for a new generation

The launch of 3G ("third generation") technology meant mobiles would never be the same again. Nokia launched its first 3G phone, the Nokia 6650, in 2002. A vintage year for innovation, 2002 also saw the launch of Nokias first phone with a built-in camera, the Nokia 7650, and its first video capture phone, the Nokia 3650.

Expanding possibilities
With 3G, mobiles can do much more than just make calls. 3G means you can use your phone to:

download music make video calls watch TV on the move browse the web

2003: Nokia launches the N-Gage

Mobile gaming goes multiplayer with the N-Gage.

2005: The Nokia Nseries is born

Nokia introduces the next generation of multimedia devices, the Nokia Nseries.

Entertainment and communication on the move

A new generation of multimedia devices was born in 2005 with the launch of the Nokia Nseries. The easy-to-use devices combine state-of-the-art technology with stylish design, creating complete entertainment and communication packages. Whether its taking your music collection mobile, shooting and editing feature-length video or watching TV

2005: The billionth Nokia phone is sold

Nokia sells its billionth phone a Nokia 1100 in Nigeria. Global mobile phone subscriptions pass 2 billion.

2006: A new President and CEO Nokia today

Olli-Pekka Kallasvuo becomes Nokias President and CEO; Jorma Ollila becomes Chairman of Nokias board. Nokia and Siemens announce plans for Nokia Siemens Networks.

World leader
Today, Nokia is still the worlds number one manufacturer of mobile phones, and one of the leading makers of mobile networks.

A new President
In 2006, Olli-Pekka Kallasvuo, formerly Nokias Chief Financial Officer, took over as CEO from Jorma Ollila, who became chairman of Nokias Board of Directors.

The next step: Nokia Siemens Networks

The next step in Nokias continuing evolution is already under way. In June 2006, Nokia and Siemens announced plans to merge Nokias networks business and the carrier-related operations of Siemens into a new company, to be called Nokia Siemens Networks.

Nokias future
As mobile usage grows in the worlds emerging markets, Nokia will continue to develop affordable mobile devices that can contribute to increased economic growth and quality of life. At the same time, mobile communications is converging with computing, digital imaging and the internet, making it possible for people to use handheld devices for filming video, listening to music, playing games, surfing the web and more. Nokia is shaping this converging industry, pushing it forward with cutting-edge products and the development of open standards. Nokias success story is built on constant innovation. Our very human technology is all about enhancing communication and exploring new ways to exchange information. Thats why Nokia will never stop finding new ways of connecting people.

2007
Nokia recognized as 5th most valued brand in the world. Nokia Siemens Networks commences operations. Nokia launches Ovi, its new internet services brand.

2008
Nokia's three mobile device business groups and the supporting horizontal groups are replaced by an integrated business segment, Devices & Services.