A new hope: HMD Global, creator of Nokia phones, receives USD 230 million strategic investment
HMD Global, the creator of Nokia smartphones and feature phones, officially announced that the company received a strategic investment worth 230 million US dollars. The most important part of the news is that, as we learned, Google, Qualcomm and Nokia Corporation are some of the largest investors.
This investment is one of the biggest strategic investments in Europe during 2020 and largest to date that HMD Global received. It will allow HMD Global to accelerate development in four key areas: affordable 5G smartphones, transition to digital-first businesses in regards to retail, expanding in new markets like Brazil and developing a holistic mobile offering with software services, alongside the well-known Nokia feature phones and smartphones. Since the company began its operations in 2016, HMD Global is now active in 91 markets across eight regions and 250,000 retail outlets and has sold over 240 million phones to date.
Press release follows down below:
HMD GlobalTM – the home of Nokia phones – raises $230 million investment from strategic partners
One of the largest growth financings raised in Europe in 2020
ESPOO, FINLAND, 11 August 2020: HMD Global, the home of Nokia phones, today announces it has successfully closed 230 million USD in the first closing of its current funding round from some of its top global strategic partners.
As well as establishing itself as a leading feature phone manufacturer by value, HMD Global has been successful in clearly differentiating its Android™ smartphone offering. Nokia smartphones come with premium Nordic design that is inspired by the company’s European heritage, superior product quality, premium ZEISS imaging experience, and market-leading reliability, as well as security features including a three-year monthly security update promise and two-year Android software upgrade commitment with the Android One promise. As the only key European smartphone player, HMD Global is increasingly popular with both enterprises and consumers who are looking for a pure, secure, and up-to-date smartphone experience.
The investment will further fuel HMD Global’s strategic vision in four key areas. Firstly, it will accelerate the company’s mission to make 5G smartphones accessible to consumers across the world, with an emphasis on strong partnerships with US carriers. Secondly, HMD Global will further transition to digital-first offerings as part of a new post-COVID reality. It will also expand its presence in key growth markets, including the recently introduced operations in Brazil, as well as Africa and India. Finally, the investment will help the business strengthen its leading position beyond just hardware and into a holistic mobile service provider. This year alone, HMD Global launched its international data roaming service, HMD Connect, enhanced its mobile cybersecurity capabilities with the acquisition of assets of Valona Labs, and built dedicated resources on software, security and services with a new research and development Centre of Excellence in Tampere, Finland.
Jean-Francois Baril, Executive Chairman and Co-Founder, HMD Global, says: “Our unique business model, based on asset-light global deployment and strong partnerships with the best in the industry, is entering a new level of maturity with the valued support of some of the most influential market-makers in mobile devices. I am extremely proud of our significant achievements to date and also thrilled about the immense opportunity before us to accelerate our journey towards excellence.”
Florian Seiche, Chief Executive Officer, HMD Global, says: “Since the very beginning, HMD Global has worked to build strong bonds with our strategic partners. This additional investment further validates our long-term business strategy and is evidence of our collective mission to make modern mobile technology accessible to everyone. Security, reliability and dependability are the cornerstones of our offering, and we will ensure we are using these funds to deliver the best experiences people have come to expect from a Nokia phone. As the only major European smartphone manufacturer, we remain true to our Finnish roots and the hallmarks that our customers trust Nokia phones to be synonymous with. With the support of our heavyweight partners, I am truly excited for the next chapter of Nokia phones.”
Since the company began its operations in 2016, HMD Global is now active in 91 markets across eight regions and 250,000 retail outlets and has sold over 240 million phones to date.
Google, Qualcomm and Nokia Corporation are not the only investors, but surely this strategic investment coming from well-known western companies will further increase the reputation of HMD Global’s and Nokia’s European heritage and give the company enough resources to bring truly competitive devices and services to market. This will further make Nokia smartphones closer to the roots of Nokia brand.
