Nokia has been idle for some time---they have clearly changed gears and are focusing to go after a high-end, tech savvy base of users. Their phones will take some time to penetrate and become more cost effective. However, as they start to move from low-end "cheap" phones to high-end "tech" phones/pda's ...we'll see real competition with the likes of Apple and HTC, etc.
However, if a true recession hits--people will be reluctant to spend $$$ on phones...which could throw off Nokia, but all competitors as well.