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UK-based tech company Nothing plans to launch a smartphone in the US to directly compete with Apple's iPhone, according to a new report out today.

nothing-phone-2.jpg

In an interview with CNBC, Nothing CEO Carl Pei said the startup is in "early conversations" with American cellular carriers about launching a new phone in the US, but he stopped short of naming any of the carriers or the phone model.

Nothing in July launched its Phone 1 smartphone in over 40 markets, including the UK, Japan, India, and countries in mainland Europe. At the time, the company said it had no plans for a widespread release of the Phone 1 in the US.
"The reason why we didn't launch in the US is because you need a lot of additional technical support, to support all the carriers and their unique customizations that they need to make on top of Android," Pei explained in an interview with CNBC. "We felt that we weren't ready before."

"Now we are in discussions with some carriers in the US to potentially launch a future product there," said the Chinese-Swedish entrepreneur.
Pei also acknowledged that it won't be easy for his company to compete with Apple on its own turf. "There's a challenge with Android where iOS is just becoming more and more dominant. They have very strong lock-in with iMessage, with AirDrop, especially among Gen Z. So that's a rising concern for me," he said.

"There might be a time where Apple is like 80% of the overall market and that just does not leave enough space for Android-based manufacturers to keep playing," Pei added.

Nothing has sold over 1 million products to date globally, with its Ear (1) earbuds selling 600,000 units and the Phone (1) reaching 500,000 shipments.

The company expects its revenues to jump more than tenfold in 2022 — from about $20 million in 2021 to an estimated $250 million this year, according to figures shared with CNBC. However, the firm is still losing money, which Pei says is partly due to the foreign currency exchange.

"We pay a lot of our COGS [cost of goods sold] in USD but we make money in pounds, in euros, in Indian rupees — so everything devalued against the USD," said Pei. "The goal is to be profitable in 2024."

Update 12/5: "Phone (2) isn't launching anytime soon," Pei said in a tweet, shortly after this article was published. "We're focused on doing a few things well, and won't churn out dozens of products a year like many others." Pei's comments suggest that if the "future product" planned for the US market is the Nothing Phone 2, it won't arrive for a while yet.

Article Link: Nothing Plans to Launch Smartphone in US to Take on Apple's iPhone
 
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star-affinity

macrumors 68000
Nov 14, 2007
1,792
1,045
I must say it seems you get quite a lot for the money with the Phone 1. A colleague has it and we were discussing how much that 120 Hz display does for the user experience, something you have to jump to iPhone 14 Pro to get as the non-pro iPhone 14 doesn't have it.

Battery life wise I think it's not as good as the iPhone and the performance isn't even close (looking at benchmarks), but I'm not sure how much that is noticeable in practice – seems to be pretty quick to me. Review here:

 

MathersMahmood

macrumors 65816
Sep 5, 2016
1,012
2,157
England
Good luck to them hope the phone is a success. Both phones are clearly intended for different audiences but the Nothing phone offers incredible value in that package.

Interested to see what the next model will have. The CEO posted a very interesting and honest video when comparing it to the iPhone.
 

seek3r

macrumors 65816
Aug 16, 2010
1,394
1,753
"The reason why we didn't launch in the US is because you need a lot of additional technical support, to support all the carriers and their unique customizations that they need to make on top of Android," Pei explained in an interview with CNBC. "We felt that we weren't ready before."

Putting carrier bloatware into the phone doesnt seem like the best selling point to me
 

Jzvm

macrumors member
Jun 23, 2020
32
39
Not really. iOS is a mobile operating system and so is Android.

Android runs on phones and tablets just like iOS does so its the same market.
But they are more likely to get Android users to buy the Nothing Android phone than to get iPhone users to switch.

Most people have picked their platform by now. It would take a very significant advantage in hardware features or price to convince a lot of people to switch.

The title should be that they are launching the phone here to take on Samsung.
 

I7guy

macrumors Nehalem
Nov 30, 2013
31,556
20,511
Gotta be in it to win it
Depends on what you consider bloatware. Maps is something I would not use, so it is bloatware. So, are many of the first-party Apple apps.
There’s a common definition and then a personal definition. First party useful apps where there was no enticement of money were never considered bloatware in the common definition.
 
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