The new Lumia 1020 smartphone was revealed in New York on Thursday.
Running on the Windows operating system, the new handset boasts the brand’s only 41 megapixel camera.
This latest release represents the Finnish company’s most recent efforts to keep up with rivals Apple and Samsung.
Emphasizing high-tech photography features and advanced optics, Nokia Chief Executive Stephen Elop unveiled the phone, which will be sold in conjunction with a two-year contract through U.S. carrier AT&T Inc from July 26. The handset will be available later in other markets including China and Europe, according to Nokia.
Elop said Nokia, which has suffered a fall in cash reserves after ongoing poor sales, was pooling resources with AT&T and Microsoft to market the new phone.
Despite the hype, analysts have expressed doubt about Nokia's ability to make a substantial dent in the market share of rivals Samsung and Apple.