Dubai: Nokia has launched a Dh288 smartphone in order to fight back against severe competition from Chinese mobile makers.

Meanwhile, analysts say Nokia may opt for other operating systems if they fail to make an impact with Windows phones. This could include a revival of its Symbian platform.

The company has launched a new smartphone priced at between Dh288 and Dh500 and aims to hit back against Chinese rivals Huawei and ZTE, which have also launched smartphones at rock-bottom prices.

"We are targeting customers, especially a huge community of expatriates, who cannot afford smartphones worth more than $600," said Tom Farrell, vice president of Nokia Middle East.

Nokia claims they will "counter-attack" against their Chinese rivals with the new phone, called Asha, which means hope in Hindi.

"We believe we can win a brutal price-cutting fight against those adversaries," Farrell said.

Analysts, however, remain unconvinced. "It is clear that Nokia is struggling with its smartphone business, but now it looks like it is also struggling with its mobile phone business," said Malek S'aadi, an analyst at Informa Tele-coms and Media said.

Hamza Saleem, senior research analyst (handsets), IDC Middle East, Turkey and Africa, added: "Nokia is losing market share in the regional handset sales and there is no recovery expected in the foreseeable future. Samsung, Apple and RIM are doing much better."