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Microsoft to Acquire Nokia's Devices & Services Business

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#1
Microsoft Corporation and Nokia Corporation today announced that the Boards of Directors for both companies have decided to enter into a transaction whereby Microsoft will purchase substantially all of Nokia's Devices & Services business, license Nokia's patents, and license and use Nokia's mapping services.

Under the terms of the agreement, Microsoft will pay EUR 3.79 billion to purchase substantially all of Nokia's Devices & Services business, and EUR 1.65 billion to license Nokia's patents, for a total transaction price of EUR 5.44 billion in cash. Microsoft will draw upon its overseas cash resources to fund the transaction. The transaction is expected to close in the first quarter of 2014, subject to approval by Nokia's shareholders, regulatory approvals and other closing conditions.

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raheelbs

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#2
The Chief Executive of Nokia Stephen Elop will step aside and return to Microsoft, his position at Microsoft is not yet disclosed but it is being rumored that Mr. Elop will be signed as the CEO for Microsoft once Ballmer hands in his resignation in the coming year.


As demands grow weak for Nokia’s mobile devices the company is faced with cash-flow problems. It has lost a majority of its market share to Apple and Samsung.
"It's a bold step into the future - a win-win for employees, shareholders and consumers of both companies," Microsoft's outgoing CEO, Steve Ballmer, said in a statement.

Source: Microsoft to Acquire Nokia for $7.2 Billion
 
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#3
Considering the majority of Nokia's mobile phones are the budget-oriented Asha line and the mid-to-high range Lumia Windows Phones, this isn't exactly that surprising.
 
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#4
The Chief Executive of Nokia Stephen Elop will step aside and return to Microsoft
Did he ever really leave? He basically seemed like a trojan. Rather than outright buy Nokia, insert a microsoft exec as CEO, run nokia into the ground by pushing an OS that nobody wants, then buy nokia itself on the cheap when nobody wants that anymore either.
 
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#5
This means however that everyone can just forget Android on any Nokia phone. Which was still kinda posibility up till now. They will be Windows Phone or nothing now...
 
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#6
End of Nokia handsets. Bye.
 
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#7
This also might make other handset manufacturers not want to have WP on thier phones.

It would be harder for them to compete against full on backing/ownership of Nokia/MS.

This would, in turn make android the go to option for any other manufacturer.
 

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#8
Been expecting this for some time now. Apple makes their own iDevice, Google has Motorola (and Nexus partners), and now Microsoft has Nokia.
 
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#9
Been expecting this for some time now. Apple makes their own iDevice, Google has Motorola (and Nexus partners), and now Microsoft has Nokia.
Google has Motorola (and Nexus partners)
LG is what you meant.
 

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#10
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#11
...for a total transaction price of EUR 5.44 billion in cash
Should we call Robin Hood ?
 
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#12
About time!
 

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#13
This means however that everyone can just forget Android on any Nokia phone. Which was still kinda posibility up till now. They will be Windows Phone or nothing now...
Not really. Nokia has never shown any interest in Android as far as I know. Nokia basically reached a point where either they needed to invest heavily in Symbian to make it competitive with Android or use someone else's OS (Android or Windows Phone). Microsoft approached them with an offer they couldn't refuse so Windows Phone it was.

Microsoft is in a bad position. Windows Phone is doing well but not well enough to run on its own legs. Without someone like Nokia innovating to keep the hardware side of the equation relevant, Windows Phone loses marketshare. Microsoft had to buy the devices and services in order to keep the ball rolling on Windows Phone which Microsoft can't afford to abandon.

It is surprising that Nokia is calling it quits (their earnings on devices and services were pretty good last quarter I thought) but not surprising Microsoft played their hero. I just wonder what is left of Nokia now that they sold off their primary business.


This also might make other handset manufacturers not want to have WP on thier phones.
Or more. Microsoft is now forced to learn from its own mistakes, just like with Surface and Surface Pro.

Just like Surface and Surface Pro, Microsoft will probably price itself higher than the competition to keep anti-trust hawks away.
 
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#14
What about thier networking hardware division???
 
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#15
I sync 3 email accounts on my mobile phone, plus skype and whatsapp. Well it has never been good with androids, but it is now with my new Nokia! Now I can trust my device ;) And camera pro is just wowwowow!
 

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#16
I never had no problem really with android, the biggest area of instability is all the custom roms, but in general its fine.

Not tried windows phone os at all, but it looks ok, and it works alongside windows on ya pc pretty well it seems.
 
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#17
Well Balmer said recently that Microsoft is in a transition mode to "devices and services" company.
 

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#18
What about thier networking hardware division???
Remaining behind is Nokia Solutions and Networks (formerly Nokia Siemens Networks), which builds telecommunications equipment, and mapping division HERE (Navteq). Nokia is also retaining its Advanced Technologies group, which develops and licenses intellectual property. These parts together account for about half of Nokia's revenue, and approximately 24,000 staff.
http://arstechnica.com/information-...t-buys-nokias-phone-business-for-7-1-billion/
 
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#19
I own a Nokia WP. Honestly its better than any Android device I have ever used. Instead of hating WP because your misplaced hate toward MS maybe you should pick up one and use it for more than angry birds and sexting your sister.
 

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#20
I own a Nokia WP. Honestly its better than any Android device I have ever used. Instead of hating WP because your misplaced hate toward MS maybe you should pick up one and use it for more than angry birds and sexting your sister.
Who is hating WP in this thread? :confused:
 
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#21
Not really. Nokia has never shown any interest in Android as far as I know. Nokia basically reached a point where either they needed to invest heavily in Symbian to make it competitive with Android or use someone else's OS (Android or Windows Phone). Microsoft approached them with an offer they couldn't refuse so Windows Phone it was.

Microsoft is in a bad position. Windows Phone is doing well but not well enough to run on its own legs. Without someone like Nokia innovating to keep the hardware side of the equation relevant, Windows Phone loses marketshare. Microsoft had to buy the devices and services in order to keep the ball rolling on Windows Phone which Microsoft can't afford to abandon.

It is surprising that Nokia is calling it quits (their earnings on devices and services were pretty good last quarter I thought) but not surprising Microsoft played their hero. I just wonder what is left of Nokia now that they sold off their primary business.



Or more. Microsoft is now forced to learn from its own mistakes, just like with Surface and Surface Pro.

Just like Surface and Surface Pro, Microsoft will probably price itself higher than the competition to keep anti-trust hawks away.
Yep. When nokia switch to windows phone they have no secondary line after trashing symbian and thats painful when especially here most they sell under $70 phone. Actually i dont expect much about nokia, yeah they make good stuff but the wave is changing. Most of my friend use android, some blackberry and only one who using nokia.

I know MS put their much money on pushing WP, and they hanging on nokia reputation but i have to say the wave is changing
 

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#22
Not tried windows phone os at all, but it looks ok, and it works alongside windows on ya pc pretty well it seems.
Actually, from what I seen, Windows Phone 8 is completely disconnected from Windows (unlike Windows Phone 7). Everything on Windows Phone 8 either happens through the built in Stores or like working with a flash stick (copy music, videos, pictures, etc.). It doesn't require proprietary software on a computer of any kind for anything after it is activated.
 
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#23
Actually, from what I seen, Windows Phone 8 is completely disconnected from Windows. Zune was required for almost everything in Windows Phone 7. Everything on Windows Phone 8 either happens through the Store or not unlike working with a flash stick (copy music, videos, pictures, etc.).
Maybe yes and maybe not
WP interface its like win8 and somehow i feel like Ms wanna follow apple
 

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#24
Maybe yes and maybe not
WP interface its like win8 and somehow i feel like Ms wanna follow apple
If you're talking interfaces MS have talked about "Windows Everywhere" for quite some time. Shared kernel and a unified UI are steps towards that.
 
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#25
ASUS (Nexus 7/10), Samsung (Galaxy Nexus), HTC (Nexus One)
Whoops. My apologies. I was talking about the latest greatest, recently slashed price, Nexus 4. :D