nokia microsoft

Wow – Microsoft buys Nokia’s devices unit for $7.2 Billion

Somewhat surprisingly, Microsoft has actually purchased Nokia’s Devices and Services unit.

This move brings the Lumia bran and line of phones finally under Microsoft’s full control. It also gives Microsoft total control of the largest Windows Phone 8 hardware supporter and finally, bragging rights to a completely integrated phone solution.

In the first quarter of 2014, Microsoft will pay 3.79 billion Euros for Nokia’s business, plus another 1.65 billion Euros for its portfolio of patents. 32,000 people are expected to transfer from Nokia to Microsoft, including 18,300 that are “directly involved in manufacturing.”

Just for laughs, (IMHO) EVP of Operating Systems Terry Myerson is stressing that Nokia wouldn’t automatically get priority when it comes to the Windows Phone OS. Just the same way Google has with done with Motorola, Myerson promised every partner would be treated the same.

YEAH RIGHT!!!!

As part of the agreement, Nokia CEO Stephen Elop is stepping aside; he’s now leading Microsoft’s Devices team.

More to come after we get more sleep….

  • Ray C

    Might as well just go ahead and buy blackberry then.

    • Rodney Longoria

      They should, @disqus_aUjJoK3PRk:disqus. Not for the physical phone per se, but all the rest. The patents, customer base, etc. If they don’t then someone else just might. Best to cover all the bases while you can, and I’m sure MS could get a bargain-basement deal at this point.

    • Rikikrik

      Ballmer said in his recent financial note that Office 365 has won back 440 business clients from Google this past year. If Microsoft is able to do this, then there is no need to acquire Blackberry. Recent news that former Blackberry clients are turning to Microsoft says enough. But it still would be real great if they acquired Blackberry.

  • DCJason

    What an excellent move. Ever since Nokia recently got its financial ‘house’ in shape (getting rid of debt, selling their building then leasing back, etc.) with a former MS employee Stephen Elop steering the company to financial wellness (all the while continuing to produce excellent devices), now it make perfect sense that this may have been the plan all along for MS to make this purchase at the right time so MS can have the tools to continue on an assault on Apply and Google in the smartphone sector. As MS continues to enlarge their device catalogue (mouse, keyboards, Xbox, Surface and now phones), it all makes sense and it is a logical step to move ahead to increase their market share with superior products. With Blackberry now failing miserably, and Nokia behind Samsung but selling more phones than Apple, it makes perfect business sense that they will have the tools to increase their market share of the Smartphone industry.

    • Rikikrik

      Well put.