So the Nokia N8 has just been announced by the Finnish mobile phone giant, and it looks to be a real doozy, with an awesome specification which will stand alongside any handset in the world.

Think 3.5 inch capacitive touchscreen, 16GB mass storage plus microSD support, FM radio and FM transmitter for beaming to nearby radios, 12 megapixel Carl Zeiss camera with Xenon flash and HD video, WiFi n, Dolby surround sound and HDMI video output (!) for external TVs, free turn by turn GPS navigation for 70 countries and all wrapped up in the brand spanking new Symbian 3 user interface.

What’s not to love? Especially when you remember that Nokia has a reputation for producing superb phone and camera quality.

But the fact remains that this handset is not due until the end of the year (officially Q3) during which time a lot will happen in this volatile market. Not only that but the Symbian system will be up against a global application frenzy in the shape of probably 80,000 + Android apps and 170,000 plus iPhone applications vying to entice the buying public.

Which all suggests that this may be a lovely product with an uphill battle on its hands, a Betamax of its time. If it’s sub-par in the way the latest Sony Ericsson X10 is, then things may not look good for Nokia in the high end smartphone market for a while.

If, however, it finally arrives on the shelves with a solid set of knock-out release applications and awesome photo quality (an area where both iPhone and Android are appalling), then we could see a real fight again from the old Baltic veteran in the corner. [Update: the first N8 sample photos are in from the field, and they are VERY good!!!]