Microsoft to buy Nokia's devices and services division for €5.44 billion

Microsoft has today announced that it has purchased Nokia's entire devices and services division

Microsoft has today announced that it has purchased Nokia's entire devices and services division.

Nokia CEO Stephen Elop.
Nokia CEO Stephen Elop.

In big news for the mobile industry, the company will purchase Nokia's devices and services business, license Nokia’s patents, and license and use Nokia’s mapping services.

Under the terms of the agreement, Microsoft will pay €3.79 billion (AUD$5.57 billion) for the business, along with €1.65 billion (AUD$2.42 billion) to license Nokia’s patents, for a total transaction price of €5.44 billion (AUD$7.99 billion).

Microsoft says it expects to officially close the transaction in the first quarter of 2014, though the purchase is "subject to approval by Nokia’s shareholders, regulatory approvals and other conditions."

Microsoft announced the deal today on its official blog, saying the deal "will accelerate the momentum" of Nokia’s devices and services.

"Today’s agreement will accelerate the momentum of Nokia’s devices and services, bringing the world’s most innovative smartphones to more people, while continuing to connect the next billion people with Nokia’s mobile phone portfolio."

"With the commitment and resources of Microsoft to take Nokia’s devices and services forward, we can now realize the full potential of the Windows ecosystem, providing the most compelling experiences for people at home, at work and everywhere in between."

Nokia's devices and services business includes the mobile phones and smart devices business units as well as design, operations, production facilities, sales and marketing activities, and related support functions.

As part of the purchase, 32,000 Nokia employees are are expected to transfer to Microsoft, including 4,700 in Finland and 18,300 employees worldwide.

Nokia's current CEO Stephen Elop will step down to become Executive VP of Devices & Services. He will officially join Microsoft when the deal closes to "lead an expanded Devices team".

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags MicrosoftsmartphonesNokiamobile phonesWindows PhonesNokia Lumia

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Ross Catanzariti

Ross Catanzariti

Good Gear Guide
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?