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 PC World newsletter!

Error: Please check your email address.

Tags mobile phonesMicrosoftNokia LumiaWindows PhonessmartphonesNokia

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

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

Essentials

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre x360

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga 910

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?