Nokia also plans to acquire imaging specialists as well as all technologies and intellectual property from Swedish company Scalado to boost its capabilities.

"The problem Nokia faces is that other manufacturers have really seized the agenda with camera capabilities ... But we are seeing signs with the PureView technology, although on the wrong software platform, that Nokia still has a very strong competitive edge," said Wood.

When it comes to navigation, Nokia Public Transport -- where users can do navigation that incorporates public transportation systems -- and the augmented reality features of Nokia City Lens show the company's lead, Elop said.

One of the challenges Nokia faces in the navigation sector is scale, which you need to be able to do to crowd-source data such as the location of traffic jams, according to Wood.

"Nokia does still have scale, but it is rapidly being caught up by Apple and Android," said Wood.