So much has been written about the Apple iPhone that it's easy to forget that there's actually other phones out there (that is, until you dig around in your pocket). Given the stiff competition the iPhone's just served up with the release of its new 3G mobile, other smart phone makers have two choices: curl up and die or revamp their business plan.

Nokia, the Finnish cell maker, is choosing the latter, according to an article in today's New York Times. While the Times piece primarily reflects on the man behind Nokia's change in direction, what's most interesting is how Nokia has decided to fight off the Apple monster to keep it from eating up more of its vast market share. Instead of trying to beat the iPhone on multiple points, Nokia is instead focusing on revolutionizing one part of mobile service—providing entertainment to users—which it perceives will be most critical in gaining a leg up on its competition.

So how do they plan on doing that? Right now, users can purchase new music, watch videos, and browse the web with an iPhone (and other phones too, just without the same panache). Nokia is taking that idea a step further, and is positioning themselves as a "promoter of social networking, with photo and video sharing and games for users." The first small step was taken last summer with the launch of Ovi, their own online music store and Internet service. Nokia plans to really ramp up their offering this year through key partnerships with the entertainment industry. So far they're collaborating with Sony and Universal Music Group to give users free downloads for a year (so long as they're using a Nokia), and are trying to work directly with more musicians, filmmakers, and other entertainers to provide their users with exclusive concert videos, recordings, messages, and more. Nokia has already hired director Spike Lee to manage a mobile video sharing and social networking project.

The question is whether these services matter to users, and whether they're enough to pull potential smart phone buyers away from the iPhone. What do you think? Has Nokia developed a smart, viable plan to tackle the iPhone and other smart phones, or is repositioning themselves as the mobile entertainment gurus grasping at straws?

Anyone have any thoughts on how they'd go after the iPhone if they were a smart phone CEO?