Asha, the budget smartphone line from Nokia, is outselling its premium handset offering, the Windows-run Lumia, by over two to one.
The firm's quarterly results, published on Thursday, revealed the total number of both Asha and Lumia devices sold in the last three months of 2012 was 14 million. Only 4.4 million were Lumias.
There have also been rumours that Apple may offer a lower-priced iPhone model.
Reports that a senior Apple executive denied this have been withdrawn.