Nokia's board has come out in support of a management plan to regain lost ground in the smartphone market by switching focus from hardware to mobile services.
Olli-Pekka Kallasvuo, chief executive at Nokia, has told investors the company is working hard to reclaim leadership in high-end smartphones and mobile computers.
It was vital for Nokia to improve the customer experience of its devices and services, he said at the group's annual general meeting.
Nokia has failed to shake off the effects of the recession and stronger competition in the smartphone market, despite growing sales and operating profits in the first quarter of 2010.
The company reported first-quarter sales of €9.5bn, up 3% year on year but down 21% on the fourth quarter of 2009. Operating profit rose 60% year on year to €820m, but was 44% down on the previous quarter.
Pressure has mounted on Kallasvuo since Nokia cut its profit forecast and delayed the launch of a new range of smartphones in April, according to the Financial Times.
Kallasvuo told investors there was a plan in place for growth and said a new generation of high-end devices would help close the gap with competition from Apple's iPhone and RIM's BlackBerry.