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The world’s largest manufacturer of mobile phones has been difficult in the fastest growing market, smartphones, where high-profile companies like Google and Apple frolicking. Nokia has even been blamed for the market does not grow faster in 2009.

But that should not be in 2010, Nokia has launched a large and costly offensive to assert itself and gain market share. Most conspicuous is the introduction of free GPS on all Nokia’s smartphones, in 74 countries and 46 languages.

Previously, Nokia users had to buy for example, turn-by-turn directions and additional map data, but now the entire package for free. And as linings Nokia delivers integrated city guides, including from Lonely Planet.

Where will the money come from?

Good news for the many Nokia users and an indication of developments in the mobile Internet. In the traditional internet we see now more and more content providers, especially news media, oppose free-wave.

With media mogul Rupert Murdoch at the head will again take money for news content. Most recently, the “world’s greatest newspaper” New York Times also joined the payment team.

But on the mobile Internet is apparently the other way. Nokia delivers free content and hopes to make money on activities outside of the content. Sales of telephones, advertising and an apps store on GPS platform.

Who is on track? Perhaps it contains the mobile Internet more advertising revenue because of the many possibilities of location-based services? How will it look when the mobile Internet, as expected, becomes dominant?

Difficult for stand-alone

Nokia’s offensive also points to a second trend which I have already touched on: Software victory once. As the hardware lifecycle rolls out, the hardware becomes more and more similar in appearance and performance, and the focus shifted from the individual phone software platform.

We have less need for stand-alone products such as MP3 players and GPS receivers, because one piece of hardware that can handle more and more. Why buy a GPS receiver, when your Nokia smartphone is broadly the same?

GPS manufacturers like TomTom and Garmin stuck in their hardware and now need to see the market move to another platform. The stock market reacted as also prompt the Nokia news by cutting 11 percent of TomTom’s stock.

In 2008, sold half a million GPS receivers in Denmark. Whiting you stick with your receiver, or pour you for smartphone solution?

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