India now Nokia's second market

Nokia said last night India overtook the United States in the second quarter to become its second-biggest market by sales after…

Nokia said last night India overtook the United States in the second quarter to become its second-biggest market by sales after China.

Nokia shipped 60 million handsets from its factory near the southern Indian city of Chennai in the 18 months to August, and CEO and President Olli-Pekka Kallasvuo expects demand to remain strong as India's user base surges.

Globally, Nokia sold 100.8 million phones in April-June and, according to research firm Gartner, it had a market share of 36.9 per cent.

The Finnish firm reaffirmed that Nokia Siemens Networks, its joint venture with Siemens, would invest $100 million in India over the next three years.

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Nokia had earlier said it expected India to become its second-ranked market by volume by 2010, if not sooner.

Last week, it warned consumers that 46 million batteries used in its mobile phones could overheat and offered to replace them for free while it negotiates with battery maker Matsushita on who would bear the costs.