“iPhone will change everything”: employees warned Nokia management about the impending collapse immediately after Apple’s announcement

Newly released archives have revealed classified information that just a day after the iPhone’s launch, several Nokia employees gave an internal presentation warning that Apple’s new smartphone poses a serious threat to the company. However, Nokia’s top management did not respond to this warning and as a result, in just seven years, the company turned from a market leader into an outsider.

Image Source: Isaac Smith / Unsplash

At the time of the iPhone’s release in 2007, Nokia was the mobile market leader with a share of about 50%. At that time, its phones, as 9to5Mac recalls, were considered not only technologically advanced, but also fashionable – this was the brand preferred by young people. However, the launch of the iPhone, which replaced the usual keyboard with a touch screen, was a revolution. Apple quickly gained the status of a “cool” company, and Nokia began to lose its position.

The presentation, prepared by a team of nine Nokia employees, emphasized that the new iPhone user interface could set new standards in the industry: “iPhone is a serious competitor. Its touch interface promises unparalleled ease of use, while web app integration looks seamless. Nokia needs to develop its own touch interface so as not to lose out.”

Despite the dire forecasts, Nokia’s top managers did not take the team’s warnings seriously. At the same time, as analyst John Gruber notes, the presentation did not take into account aspects such as the revolutionary role of mobile applications and Internet access, which became key to the success of the iPhone. However, the introduction of at least a touch interface could significantly change the fate of Nokia.