Nokia today at MWC unveiled the Nokia Lumia 610, what it describes as a 'cheaper smartphone' using Microsoft's Windows Phone software. 

Nokia said the Lumia 610 smartphone would cost €189 (around £160) and will be abailable worldwide in the second quarter of 2012.

At the same event Nokia unveiled an updated, global version of its high-end Nokia Lumia 900 smartphoneand a new cameraphone it tcalls the 808, which comes with a 41 megapixel camera sensor and a Carl Zeiss lens. Intriguingly, this phone runs on Symbian, suggesting that all is not well in the Nokia/Microsoft world.

Nokia's relationship with Windows Phone and Microsoft is crucial to the phone-maker's future. Despite its size, in June 2011 Nokia was overtaken by Apple as the world's biggest smartphone maker. In advance of that event and in the face of a declining share of the crucial smartphone market, around a year ago Nokia unveiled a strategic alliance with Microsoft. In effect it dumped Symbian and MeeGo for Windows Phone, and became the hardware partner for Microsoft's mobile platform.

Nokia said it planned to reduce spending on R&D, focusing instead on building hardware for Windows Phone 7. Ovi - Nokia's nascent app store - has been integrated into the Windows Phone Marketplace, and so on.

As Nokia was the largest mobile phone manufacturer worldwide at the time, the move has boosted Windows' credibility as a mobile platform ahead of the launch of the first Microsoft OS to operate across desktop and mobile: Windows 8.

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