Another one bites the dust. It's almost official – Nokia expects to close the sale of its handset business to Microsoft by 25 April, after regulatory delays hindered the deal.
As part of the deal, Microsoft has bought rights to the Nokia brand for 10 years, which allows the Richmond-based company to use the brand for its entire mobile phone range.
Microsoft will also overlook the Nokia website and the Finnish company's social media presence for up to a year. But before you all react to the deal, let’s get it out there that the buyout doesn’t mean there will be any branding changes in the market – yet.
Microsoft declined to reveal if it'll use the Nokia brand name in its mobile range sales after the closure of the deal.
On the other hand, there has been recent speculation of some alterations to the brand.
In a leaked letter to its suppliers, Nokia wrote that "upon the close of the transaction between Microsoft and Nokia, the name of Nokia Corporation/Nokia Oyj will change to Microsoft Mobile Oy". The truth, as far as we know, is still out there. But let's hope that you won't be buying a Micosoft Mobile Lumia device, that's quite a mouthful.
More after the break...
Microsoft sees the Nokia buyout as a perfect fit to its shifting strategy – from a traditional software company to one that is more services and device oriented. This will delight many consumers, who don’t already seem to be getting enough of the vast array of mobile devices in the market.
This move is a surprising one, considering that sales numbers for both Microsoft's Windows Phone and Nokia’s Lumia smartphones pale in comparison to that of the other mobile magnates.
Cynicism aside, there's a possibility that Microsoft could help alter Nokia’s dwindling image. We'll just have to play the waiting game.
[Source and image: PCWorld]