HMD Global, the maker of Nokia mobile phones, has launched its first smartphone manufactured in Europe. The move follows the company’s announcement six months ago that it would transition some of its manufacturing to Europe to meet the growing demand for locally-produced hardware. The exact location of the manufacturing facility was kept under wraps due to security concerns, but HMD Global has now confirmed that one of its manufacturing locations is in Hungary. The first device off the line is the 5G Nokia XR21, which offers a higher level of security assurance through customized software and security features.
From a feature perspective, not much has changed in the European device compared to the existing XR21. However, durability and sustainability are key aspects of its target market. The XR21 boasts military-grade durability with an IP69K rating and is made from 100% recycled aluminum. While the materials will still come from elsewhere, the device will be assembled, calibrated, and tested in Europe. HMD Global’s focus on manufacturing in Europe is driven by security requirements from enterprises, as well as the need for proximity to consumers that prioritize sovereignty and localization.
It is important to note that this move does not signify a complete shift from HMD Global’s existing manufacturing capacity in China and India to Europe. The company acknowledges that Asia is still a significant market, and the European manufacturing is specifically targeted at customers with strict security and localization demands. The launch of the Nokia XR21 is the first step in HMD Global’s strategy to cater to these specialized requirements while offering a higher level of security and sustainability through European manufacturing.
