Nokia extends licence for HMD Global - production of phones under the familiar brand will continue

Nokia has extended its licensing agreement with HMD Global, allowing the company to continue to produce budget phones under the Nokia brand for about 3 years beyond the original term, which was due to expire in 2026. Neither the first nor the second company has issued an official press release yet, but Indian news sites have reported the deal.

Why It Matters

Nokia licensed its trademark to its compatriots from HMD until 2026. As this date approached, HMD began to gradually develop its own brand, abandoning the third-party brand. It was reported that Nokia is actively negotiating and looking for another company that would like to produce phones under their brand.

According to IDC, in 2024, HMD held more than 22% of the push-button phone market in India in terms of volume and almost 31% in terms of value. These are mostly low-cost feature phones, but the size of the market is enormous. India remains the largest market for push-button phones in the world, although a few years ago this market was considered unpromising.

The partnership between Nokia and HMD has been going on since 2016. During this time, HMD has successfully "reincarnated" classic Nokia models and has been producing budget-friendly feature phones on a regular basis. Despite the fact that Nokia's licensing obligations are quite onerous, HMD continues to cooperate, supporting its compatriots' trademark and respecting their heritage.