Leading Mobile phone manufacturer Nokia has today reported a substantial loss in the third quarter of 2009 with a loss of up to £391m in comparison to a profit of £1.3bn just a year earlier..

A major possible concern for Nokia is the impact that mobile phone recycling companies are having on their UK Sales, historically one of their strongest markets.

Companies like Mobile Phone Xchange are paying consumers hundreds of pounds when they sell their old Nokia mobiles, with N95’s currently fetching nearly £100 and N96’s worth nearly £150.

The question for Nokia is what phones are these customers then buying,, are they just upgrading to a newer N0kia like the N97 or are they using this money to afford the purchase of an iphone.?

Unfortunately for Nokia this situation is likely to continue and is more likely to affect them over other manufactures as the popularity of their handsets in emerging markets means that their old phones are still hugely demanded keeping the price higher than for second hand phones from LG and Samsung.