Analysts: Nokia Media Push Questionable

CNNMoney.com blogger Paul R. La Monica analyzed Nokia’s foray into the online music business, called “Ovi,” along with the company’s recent push to revive its troubled N-Gage mobile gaming platform. Analysts are lukewarm over the announcements.

“It’s clear that market potential is better than Europe and markets in Asia,” said Michael Goodman, a senior digital entertainment analyst with Yankee Group, in the article. “Very few people are willing to change their digital music players for a music phone.” And if they are, it appears that they are sticking with Apple and its new iPhone, said La Monica.

Moreover, Nokia’s Ovi music store doesn’t seem to distinguish itself from its competitors–notably Apple. “This service isn’t sufficiently differentiated to make a major impact in terms of convincing consumers to either start using legal download services, or wean them off of Apple’s service and dedicated music devices,” wrote Forrester Research analysts Charles Golvin and Paul Jackson in an e-mail to CNNMoney.com Wednesday morning.

The article goes on to say that some analysts don’t believe the phone will ever be the right device to purchase music at all–the PC should remain the entry point. Lots of good stuff here.

Nokia’s music store hits sour note [CNNMoney.com]