Tag Archives: Satya Nadella

Microsoft and Nokia complete mobile phone unit deal

yyMicrosoft has completed its purchase of Nokia’s mobile phone business for 5.44bn euros ($7.5bn; £4.5bn).

The deal between the two firms should have been completed earlier this year but it was delayed by a hold-up in regulatory approvals.

The sale will see the end of production of mobile phones by Nokia.

“Today we welcome the Nokia devices and services business to our family,” said Microsoft chief executive Satya Nadella.

“The mobile capabilities and assets they bring will advance our transformation.”

The Finnish company will now focus on networks, mapping services and technology development and licences.

Two Nokia plants will remain outside the deal – a manufacturing unit in Chennai, India, subject to an asset freeze by Indian tax authorities, and the Masan plant in South Korea, which it plans to shut down.

Former Nokia chief executive Stephen Elop has become executive vice president of the Microsoft devices group, in charge of Lumia smartphones and tablets, Nokia mobile phones, Xbox hardware, Microsoft Surface, and Perceptive Pixel (PPI) products

Nokia Microsoft mobile deal gets shareholder go ahead

Shareholders of the phonemaker Nokia have agreed to sell their mobile phone business to technology giant Microsoft for 5.4bn euros ($7.2 bn; £4.5bn).

The deal goes ahead despite objections from some investors who opposed the sale of a Finnish asset.

Regulators must clear the sale, but is expected to close early next year.

In September, Microsoft agreed to buy the mobile phone business and licence patents from Nokia.

Nokia has seen its share of the smartphone market shrink as competitors such as Apple and Samsung have risen in popularity.

‘Feels good’

Tuesday’s deal was approved by 99.5% of Nokia’s 3,900 investors at a meeting for shareholders in the Finnish capital of Helsinki.

At the five-hour-long shareholder meeting, Chairman Risto Siilasmaa said he believed the sale would “raise deep feelings” among Finns, who regard the phone company as a national success.

But one shareholder told the Reuters news agency he was happy with the vote.

“Now it feels good again. This is a really good result,” said Hannu Ryyppo. “It’s a new beginning for Nokia.”

When the sale was first announced, Nokia said it would also make changes to its leadership.

Stephen Elop, the former president chief executive of Nokia Corporation, was to step down and resign from the company’s board under the terms of the deal.

Nokia has faced criticism over the 18.8m euro pay-out Mr Elop is set to receive when he leaves the company. He is due to move over to Microsoft when the sale is completed.

Mr Elop left Microsoft to join Nokia in 2010, and has been cited by some as one of the frontrunners to replace Microsoft’s outgoing chief executive Steve Ballmer.

Mr Ballmer is expected to leave the company in 2014