HMD Global Is Stepping Back from the US Market

In a surprising but perhaps unsurprising move, HMD Global has announced that it will be scaling down its operations in the United States. The decision means that HMD will no longer sell phones in the US, though the company has confirmed it will continue to honor warranty coverage and service for existing customers.

The announcement, shared via a statement to Wired’s Julian Chokkattu, cites a “challenging geopolitical and economic environment” as the main reason for this strategic retreat. While HMD didn’t go into full detail, it’s widely understood that increased tariffs, regulatory complexity, and cost pressures have made the US market increasingly difficult to navigate, especially for brands operating outside the Apple-Samsung duopoly.

This exit doesn’t come out of the blue. HMD has been undergoing a number of internal changes, especially within its managerial ranks, over the past months (and years now). These shifts hint at a broader repositioning of the company’s priorities and raise questions about the future of some of its recent partnerships, such as the one with Mattel that produced the attention-grabbing Barbie Flip Phone.

This move doesn’t mean that HMD is disappearing. It might be, once again, refocusing on markets where it sees more opportunity. That includes Europe, India, and parts of Asia and Africa, where its affordable, repairable HMD-branded phones, like those in the HMD Pulse series, have the potential to stand out. Still, the exit from the US underscores just how difficult that market remains for anyone who’s not already entrenched. Without strong carrier ties or large marketing budgets, even well-known brands struggle to gain ground.

If you already own an HMD or Nokia phone, you shouldn’t worry. The warranty and service support will continue. But future product availability in the US will be limited to imports, if at all.

 

Source: AndroidAuthority