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Edition: U.S. Article Comments (0) Follow Reuters Facebook Twitter RSS YouTube Read Data points to underlying factory strength 10:53am EDT Angry Greeks say new taxes to hurt middle class, again 23 Jun 2011 Oil dives to 4-month low as emergency stocks unleashed | 23 Jun 2011 Loss of Libya oil bigger disruption than Katrina: IEA 9:28am EDT Asia moves to tap oil reserves | 10:55am EDT Discussed 200 Biden deficit-cut talks hit impasse: Rep. Cantor 136 CBO sees government benefits swamping U.S. economy 55 Dutch court acquits Geert Wilders of hate speech Watched Hefner's revenge; Ryan Reynolds stops traffic Fri, Jun 17 2011 Airbus A380 damaged at Paris Air Show Mon, Jun 20 2011 Airbus' view of flying in the future Mon, Jun 13 2011 Slow Finnish phone sales may explain Nokia's woes Tweet Share this Email Print Related News Nokia unveils N9 smartphone Tue, Jun 21 2011 RIM swoons on grim results, shareholders fret Fri, Jun 17 2011 Best Buy wins more phone shoppers, tops estimates Tue, Jun 14 2011 Nokia wins rare battle as Apple settles legal row Tue, Jun 14 2011 Apple's Jobs takes stage to talk iCloud Mon, Jun 6 2011 Analysis & Opinion Tech wrap: FTC seen deepening Google probe Tech wrap: New iPhone seen in time for school Related Topics Technology » Media » Customers look over a mobile phone display at the Nokia flagship store in Helsinki September 29, 2010. Credit: Reuters/Bob Strong By Sinead Carew NEW YORK | Fri Jun 24, 2011 10:23am EDT NEW YORK (Reuters) - Should Finland, Nokia's home base, take some of the blame for the one-time market leader's recent struggles to compete in smartphones? New research shows Finland's consumers have the distinction of being some of the slowest in the world to buy new cellphones, waiting a whopping six years before investing in a new phone. The British, by contrast, buy a new phone every 22 months and the French replace their handsets about every two and a half years, according to research conducted by Recon Analytics that compared buying habits in 14 countries. "Maybe it's no accident that Nokia is having a tough time developing smartphones given that in their home market so few people are replacing their handsets," Entner said. Consumers change their phones every 21.7 months in the United States, home of Nokia's most formidable smartphone competitor Apple Inc. In South Korea, where another big rival Samsung Electronics Co is based, consumers buy new phones every 26 months. Entner was quick to point out that his research held no scientific proof of a correlation between the slow Finnish replacement rate and competitive difficulties at Nokia, which sells most of its phones overseas. But weak phone demand at home may have dulled the sense of urgency among Nokia's developers. "The innovative pressure is not as high," if most of the people around them are all using old phones, Entner said. Income can make a difference in replacement rates, but in this case Entner points out that Finland's income levels are roughly in line with the United Kingdom and France. Instead, Entner found carrier subsidy levels tend to play the biggest role in differing replacement rates between countries. He used carrier subsidies for the Apple Inc iPhone 4 as the basis for his study. In many countries, including the United States, wireless service providers subsidize part of the cost of their phones in order to entice customers to commit to a long term contract. To illustrate, Entner compared a UK iPhone carrier subsidy of $660 with a $379 subsidy in France and a $84 subsidy in Finland, which only a few years ago started to allow its wireless service providers to subsidize cellphones. But the home country excuse may only work for Nokia. For example, Canadian rival Research In Motion might be hard pressed to use the same reason for its struggles to compete. After all, Canadians replace their phones twice as often as Finns. Finns are not the slowest in the world to replace their phones. Last in the study was India, where income levels are 14 times less than those of U.S. consumers and people keep their phones for 93.6 months or about 8 years. In Brazil, the second slowest country for replacements, people wait almost 81 months before changing their phone while in Israel, consumers upgrade after 76.5 months, just two months later than Finland. (Reporting by Sinead Carew) Technology Media Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above. 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