HMD, the company behind Nokia, calls it quits on the US smartphone market

The US mobile market just got a little tighter, as HMD has confirmed it’s pulling business out of the States due to “a challenging geopolitical and economic environment.”

The news, first confirmed by Wired’s Julian Chokkattu on Threads, sees HMD “scaling back” its business on this side of the Atlantic (via The Verge). HMD was born out of Microsoft’s acquisition of Nokia back in 2014, obtaining the rights to the Nokia brand name in 2016 as Microsoft slowly began to pull out of the smartphone business. Over the past near-decade, the company has produced some solid low-cost Android devices, all while occasionally dominating headlines with rebuilt Nokia3310s or Barbie-branded feature phones. It had also recently pivoted to using its own branding outside of Nokia.

None of that was ever enough for the company to build any momentum in a market dominated by carrier deals and just a couple of big players. Combined with the current and consistently fluxuating threat of tariffs — presumably the environment described by HMD in its comment — it’s easy to see why HMD might decide to call it quits on the US. While the company’s statement uses the phrase “scale back,” it doesn’t sound like there are any existing plans for new arrivals in this region, effectively ending Nokia’s presence here.

HMD says it’s planning a “seamless transition” for both customers and partners, including the promise of continued warranty coverage through the brand’s existing global workforce. That said, it sounds like any US workers employed or contracted through HMD might not make it through this period; the company says it “deeply value[s] the contributions of our US colleagues impacted by this change,” which doesn’t sound particularly promising.

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You can read HMD’s statement below.

Like many global businesses, HMD is navigating a challenging geopolitical and economic environment. After careful consideration, we have made the decision to scale back our US operations.

Our priority is ensuring a seamless transition for our customers and partners. We will continue to honour all obligations, including warranty coverage and service for existing products, and provide full support through our global teams.

We deeply value the contributions of our US colleagues impacted by this change and are committed to supporting them during this transition.

HMD remains focused on long-term growth, with strong momentum across our mainstream business and key segments such as Family, Secure, and Microfinancing.