Nokia Gives Up On Japan, Starts Shipping Its Touch-Phone

Some interesting news out of Finland this week. First up, Nokia announced that it will cease making mobile phones for the Japanese market. Second, the touch-based XpressMusic 5800 is now shipping in some markets.Nokia hasn't fared well in Japan, where Japanese cell phone makers offer better, more advanced phones. Nokia's performance is so bad, that it is giving up and will cease to make handsets for Japan. The Japanese market is the fourth largest in the world.

"In the current global economic climate, we have concluded that the continuation of our investment in Japan-specific localized products is no longer sustainable," Nokia executive vice president Timo Ihamuotila said in a statement.

Ihamuotila did not explain how this new announcement would impact Nokia's plans to launch a luxury MVNO in Japan next year. Nokia said that it will continue to sell its luxury line of phones, called Vertu. Perhaps Nokia will only offer its Vertu phones with the premium MVNO service.

In more positive Nokia news, the company has started shipping its touch-based 5800 XpressMusic phone. The touch phone will be available in select markets globally, including Russia, Spain, India, Hong Kong, Taiwan, Finland, among others. No word on when Nokia will bring the 5800 to the U.S. market.