The New York Times notes that such a move is typically a sign that a product is not selling well. A spokesman for Nokia tells the newspaper that it’s “a normal strategy that is put in place during the lifecycle of most phones, and allows a broader consumer base to buy this flagship device at a more accessible price.”
Numbers released by Nielsen last week showed the Lumia line capturing a relatively small 0.3 percent of the U.S. smartphone market thus far. In addition to the Lumia 900, the line also includes the Lumia 710 on T-Mobile. Windows Phone overall has 1.3 percent of the market, according to the research firm.
Microsoft and Nokia have been banking on the Lumia 900 to capture the attention of consumers, but smartphone buyers may be more wary of making the leap to Windows Phone for now given the recent news that existing Windows Phone handsets won’t be able to run the new Windows Phone 8 software when it comes out.