Microsoft to buy Nokia phone business for $7.2bn

Microsoft will soon buy Nokia phone business for $7.2bn and Nokia’s CEO will work with Microsoft once the deal is finalized (approved by shareholders / regulatory) by 2014 (1st quarter). According to Steve Ballmer (Microsoft CEO) this will be a win-win situation for both the companies.

Nokia had already partnered with Microsoft for the windows phone OS that almost all of their smartphones are running on. As per the new deal all of the services, devices, production, sales, marketing etc will be acquired by Microsoft. The Nokia employees will become a part of Microsoft.

Microsoft will also get rights to ‘Nokia Here’ services for which they will pay a 4 year license to Nokia. Microsoft also gets license to Nokia’s patents for 10 years. They will continue using the Nokia brand on older as well as newer products yet to be launched specially the devices that are powered by Series 40/30 OS.

Microsoft buys Nokia

This probably could be a good move for both Microsoft and Nokia, but one thing is for sure with Nokia becoming a part for Microsoft it is highly unlikely that we may ever see a Nokia phone with the Android OS.

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