In keeping with the trend of making a lot of rumors about Nothing, it seems pertinent to point out that Canadian smartphone enthusiasts may have dodged disappointment with the fact that Nothing did not release their next phone here (1).
That’s not to say Canadians have better service with fewer options when it comes to smartphones. I would say more options are better, especially in an age where smartphone companies are disappearing more and more. LG is gone, HTC appears once every few years with a new scam encryption phone, and Motorola only seems to launch a few budget or mid-range options every year in Canada.
Until Nothing revealed that its first new smartphone, the Phone (1), would arrive in Canada, it was awaiting its arrival. It’s true that I probably got a little lost in the hype. The phone is exciting: it has a unique look and is new and striking.
But as we learned more about the Nothing Phone (1), I found myself thinking that maybe it’s good that the first iteration is omitted in Canada.
Insignia exaggeration for a stylish mid-range
Image credit: MKBHD
More recently, Nothing has confirmed that the phone (1) runs a “custom” Snapdragon 778G + chip. As previously reported, the 778G + is really just a 778G with wireless charging capabilities. The fact is that the 778G (and by extension the 778G +) is a mid-range chip. There’s nothing wrong with mid-range chips, but Nothing’s drum machine has painted the phone (1) as a flagship. People who come to the phone (1) with this expectation may be disappointed.
The thing is, Nothing’s Phone (1) will have to contend with some of the most important players in the market to move forward. It’s a big challenge, and a market like Canada’s makes it even harder to beat.
Canada’s smartphone market isn’t big, at least compared to some other countries. According to StatsCan, about 85 percent of Canadians had a smartphone for personal use by 2020. Recent population estimates (also from StatsCan) put Canada at about 38.6 million, which means that approximately 32 , 8 million Canadians have smartphones. Emphasis on the “roughly,” as 85 percent comes from 2020 and the numbers have likely changed since then. Along with the 2019 data suggesting that Canada has an almost equal distribution between Android and iOS usage (46 to 53 percent, respectively, but I’m rounding up here to make math easier) and maybe you have 16.4 millions of potential customers over the phone (1).
And since I can already hear the furious writing coming from the comments section, I want to acknowledge that this is just quick, background math. It’s not so much the numbers, but Canada is a small market in the grand scheme of things (Apple and Samsung sold about 239 million and 272 million smartphones, respectively, in 2021).
Obviously, Nothing will move so many phone units (1), nor should anyone expect you to do so with your first phone. In contrast, if Nothing launched Phone (1) in Canada, it would register to fight for a fraction of an already small market, and it would do so with virtually no backup (read: operators).
We’ve been here before
Sound familiar? That’s because we’ve seen it before brands like OnePlus and Essential. You still can’t buy OnePlus phones from Canadian carriers, while Essential’s PH-1 was only available through Telus at launch. Yes, OnePlus has had considerable success, but it would be hard for you to find someone outside of technology circles who is familiar with the brand.
As an anecdote, I used to work in a smartphone store before I started writing for MobileSyrup. Almost every customer I had was there to buy a new iPhone or a new Samsung Galaxy, usually because their current iPhone or Samsung phone was broken or old. It was rare for a customer to show interest in a phone from another brand (although occasionally it had a Pixel conversion). The essential phone was also available in the store where I worked, but I don’t remember ever selling it even after it had a big discount at the end of its run.
Although I never had an Essential Phone, I liked the device and always thought it was truly unique. It was disappointing to see the phone arrive in Canada and languish in the dark. Also, it’s worth noting that Nothing picked up what was left of Essential last year.
You need more than hardware tricks
Therefore, entering the Canadian smartphone market is difficult. You don’t need carriers to do this, but even if you do, it may not help. Also, for people to change, you really need something to attract them. Hardware tricks won’t cut it (as good as these LED glyphs are). If I had to guess, the secret could be OnePlus ’anti-childhood tactic: the company got a lot of press by offering flagship smartphones at very low prices. This caught people’s attention and was enough to take them a bit away from the carrier upgrade pipeline.
Nothing’s Phone (1) doesn’t have it. Rumors point to the price being low, but that’s because it’s a mid-range device, not a flagship. Unfortunately, in Canada there are high-end mid-range devices from well-known brands: Apple’s iPhone SE, Google’s Pixel A series, and Samsung’s Galaxy A line, for example. In addition, they all have the advantage of being available to Canadian operators.
That said, I think Nothing’s plan to skip Canada and the US is the right game. Sure, it sucks for smartphone fans, but it also offers Nothing a chance to prove itself in less tough markets. Perhaps with some success tied to his name, Nothing could break in Canada. Either way, Canadians dodge disappointment.
Image credit: nothing