Photograph: Antti Aimo-Koivisto/AFP/Getty ImagesSoon, you ll be able to buy a Nokia again, 18 months after Microsoft quietly killed the name, seemingly for good.Meanwhile, the manufacturing, distribution and sales arms of Nokia have been bought by iPhone manufacturer Foxconn, which has also agreed to build the new Nokia phone for HMD.The chief executive of HMD global, Arto Nummela, said: We will be completely focused on creating a unified range of Nokia-branded mobile phones and tablets, which we know will resonate with consumers.After the dust settles, HMD will be running the Nokia brand with Foxconn as an exclusive licensee.This agreement will give HMD full operational control of sales, marketing and distribution of Nokia-branded mobile phones and tablets, with exclusive access to the pre-eminent global sales and distribution network to be acquired from Microsoft by FIH, access to FIH s world-leading device manufacturing, supply chain and engineering capabilities, and to its growing suite of proprietary mobile technologies and components.In September 2013, Microsoft announced it would buy Nokia s mobile phone business for €5.4bn £4.2bn .
Microsoft has announced an agreement to sell its feature-phone business to FIH Mobile, a subsidiary of Taiwan-based electronics giant Foxconn, and another entity called HMD Global, Oy for around $350 million.HMD Global was founded out of Finland in 2015, and initially it looked like it was a business vehicle of sorts set up to help facilitate the Microsoft transaction — Finland, if you remember, is home to Nokia, the former mobile phone giant that sold its core hardware assets to Microsoft two years back.Today marks the beginning of an exciting new chapter for the Nokia brand in an industry where Nokia remains a truly iconic name, said Ramzi Haidamus, president of Nokia Technologies.So while Nokia still harbors ambitions to be a big mobile brand, it will have to rely on others much more than it once did — you may remember the company launched an Android-powered tablet in China back in 2014, well, that was under a similar arrangement as to what it will be doing now moving forward.This is where HMD Global comes into play — it s a new private company seemingly founded under Nokia s volition to build a new wave of mobile devices, replete with the Nokia brand.The venture is actually being run by CEO Arto Nummela, formerly of Nokia and the head of Microsoft s Mobile Devices business in Greater Asia, Middle East, and Africa, as well as Microsoft s soon-to-be-sold feature phones business.Nummela will be aided by President Florian Seiche, who currently serves as senior vice president for Europe sales and marketing at Microsoft Mobile.We don t yet know what these devices will look like, but we do know that HMD plans to invest around $500 million over the next three years to support the marketing of Nokia-branded devices, which HMD says will be funded via its investors and profits from the acquired feature phone business.
Nokia sold off their mobile and devices division back in 2014, in hopes that the brand would live on under Microsoft's care.Unfortunately, Microsoft hasn't exactly been putting a strong focus on their Windows phones, which means that the Nokia brand has been in a slump for quite some time.Today, it was announced that Microsoft would be selling the rights to the Nokia brand to HMD global for the next ten years.HMD is brand new Finnish company that appears to have been founded with the purpose of creating Nokia-branded phones and tablets.Additionally, Microsoft announced that they were selling the remainder of their feature phone business assets to FIH Mobile Limited a subsidiary of Foxconn .HMD and FIH will be working together to create Nokia-branded Android phones and tablets over the next ten years.
Meanwhile, Microsoft is also licensing the Nokia name for handsets back to Nokia, which has set up a new company that will make feature phones, Android-based smartphones, and tablets.Now, Microsoft claims it is not giving up the ghost entirely, even though it is enabling yet another competitor in the smartphone business.There was no bold vision or explanation of where Microsoft plans to go next in terms of mobile platforms and devices.Plus, Alcatel has actually been acquired by Nokia .What s more, the deal is not likely to reassure app developers, handset manufacturers, or consumers that Microsoft is in the smartphone game for the long haul.At this point, walking away is probably the best thing Microsoft can do.During its second quarter earnings report in January, Microsoft reported that it had sold 4.5 million Lumia devices, down from 10.5 million for the same period a year earlier.In the five years since Microsoft first gave us the Windows phone, the news has been bleak:And in the Kantar market share report for the three months ending in February, Windows Mobile was bleeding market share just about everywhere: down from 4.8 percent in 2015 to 2.6 percent in 2016 in the U.S; down from 9.1 percent in 2015 to 5.8 percent in 2016 in Australia; and down 10.1 percent to 5.9 percent in Europe s five biggest countries.Meanwhile, Windows Mobile was stuck at .9 percent in China, practically irrelevant.Microsoft has been focusing on services and applications that run across mobile platforms lately.This is probably its best hope for maintaining a foothold in the mobile platform game going forward.No doubt, it s a bitter moment for a company that once had such a lock on personal computing — thanks to its Windows desktop monopoly.But the mobile wars have long since become Apple s iOS versus Google s Android.Microsoft can only really move on by admitting that hard truth to itself.
Nokia is back in the mobile phone business, after a fashion.It has granted HMD Global an exclusive, 10-year license to the famous brand, allowing the Finnish startup to sell Nokia mobile phones and tablets.Meanwhile Microsoft, which bought Nokia's mobile phone activities in 2013, is finally getting out of the feature-phone business, selling its remaining interests in the Nokia brand and its Vietnamese phone factory to HMD and to FIH, a subsidiary of contract manufacturing giant Foxconn, for around US$350 million.Fans of the Lumia brand should still see software updates, but they may not see any new hardware: Microsoft merely said it would "support Lumia phones such as the Lumia 650, Lumia 950 and Lumia 950 XL," without talking of developing new models.However, its roundabout return to the mobile phone market was clearly telegraphed.As early as 2014 it dipped a toe back into the mobile market with the release of the Nokia-branded N1 tablet, manufactured under license by Foxconn, the manufacturing partner of HMD.
Microsoft has announced that it s selling its feature phone division to Foxconn for the princely sum of $350 million.While Microsoft claims it will continue to work on Windows 10 Mobile and the Lumia smartphone brand, it will hand over all of the assets relating to its Nokia-branded feature phones, including brands, software and services, care network and other assets, customer contracts, and critical supply agreements.It s expected the deal will be completed in the second half of 2016.Microsoft purchased Nokia s phone division three years ago for $7.1 billion.Its foray into phone hardware hasn t been a huge success so far, but maybe jettisoning the feature phone wing will allow it double down on the smartphones it clings to.Did someone mention Surface Phone?
Just a few years ago, Finland s once-mighty Nokia couldn t wait to unload its dying smartphone business to Microsoft.Microsoft needed a Hail Mary pass to jumpstart its Windows Mobile platform.It was a tough decision for Nokia, a company that had been king of mobile handsets a decade earlier.And so, at first glance, it would seem absurd that suddenly Nokia wants to build a smartphone business from scratch.But times have changed.And so has Nokia.Having shed handsets, Nokia pivoted to focus on telecom and communications equipment.It doubled down by acquiring France s Alcatel, which will give it a broader focus on connected objects and networks.The ability to make cheap, $50 Android phones has given rise to all sorts of regional smartphone players who can offer handsets with decent quality and not too much turnaround time.Many of these phones are aimed at people who are graduating from feature phones to their first smartphone.And its costly manufacturing operations will now be in the hands of a Foxconn subsidiary, as part of the Microsoft deal.Nobody should expect Nokia to become No.
Credit: Rob SchultzWhen it comes to parsing Microsoft s public statements, most company watchers know you have to read between the lines to get at what Microsoft is saying without really saying it.The Verge s Tom Warren just spotted one such statement that implies Microsoft is killing the Lumia lines of phones.Here s what Microsoft said: Microsoft will continue to develop Windows 10 Mobile and support Lumia phones such as the Lumia 650, Lumia 950 and Lumia 950 XL, and phones from OEM partners like Acer, Alcatel, HP, Trinity and VAIO.Microsoft has yet to officially announce the end of the Lumia line; however, critics have expected as much since earlier in 2016.The impact on you at home: Even if the Lumia brand has reached the end of its sad, tortured existence with the Lumia 650—which was rumored at the time to be the last Lumia—it doesn t necessarily mean Microsoft won t create another Windows phone.Rumors, and desperate hope from Windows phone fans, are still holding on to the dream of a Surface phone.
The company, which has refashioned itself into a maker of wireless and Internet network equipment, won t make or sell cellphones and tablets directly.Rather, Nokia said Wednesday that it has entered a series of licensing pacts with Finnish and Asian partners.Nokia said it has granted patent and design rights to a newly created company based in Finland, HMD Global Oy, which will be in charge of global marketing through a 10-year exclusive agreement.As part of a separate but related transaction, Microsoft said it has agreed to sell Nokia s former entry-level phone business, which it has owned since 2014, to HMD and Foxconn for $350 million.Two years ago, the U.S. company spent €5.4 billion $6.1 billion to acquire Nokia s wireless device assets.Nokia said revenue from the entry-level phone operations would help HMD finance a $500 million investment in a global marketing campaign over the next three years.
After Microsoft bought the handset business from the Finnish firm in 2014 the legendary Nokia name disappeared from our phones, but it's coming back.A new company, HMD, has been specifically founded as a subsidiary of Foxconn to put the Nokia name back onto phones and tablets.HMD has signed a licensing agreement with the Nokia Corporation - the company does still exist - for the exclusive use of the Nokia brand on mobiles and tablets for the next 10 years.Feature focusIt's not just smartphones though.HMD has agreed with Microsoft "to use the 'Nokia' trademark on feature phones until 2024, and design rights relating to Microsoft's Feature Phone Business."They may not be household names, but Nummela has previously held senior positions at Nokia, and is currently the head of Microsoft's Mobile Devices business EMEA and Microsoft's global Feature Phones business.
Microsoft Corp. agreed to sell its feature phone business to FIH Mobile Ltd. and HMD Global for $350 million, exiting a business that once dominated the mobile market under the Nokia name before Apple Inc. s iPhone.FIH, part of Foxconn Technology Group, will also acquire a manufacturing facility in Hanoi, Microsoft said in a statement Wednesday.About 4,500 employees will transfer to the new owners with HMD also signing an agreement to make new devices under the Nokia brand.Microsoft moved into phone production almost two years ago when it bought the handset division of Nokia in a $9.5 billion deal in a bid to make the company relevant in consumer computing beyond PCs.The company later wrote down most of that purchase.
Microsoft is selling its featurephone business to manufacturing company Foxconn, The Verge reports.The deal, which is worth $350 million £242 million, will give Foxconn company FIH Mobile the right to use the Nokia brand, and 4,500 employees will also work for the new company.The official Microsoft press release says it expects the deal to close in the second half of 2016.A featurephone is a low-end mobile phone that doesn't have the capabilities of a smartphone.Microsoft has been scaling back its production of featurephones.A leaked memo from 2014 showed that the company was going to focus on Windows Phones instead of Nokia products.And now Microsoft has moved away from Windows Phones too.Microsoft's 2013's acquisition of Finnish phone manufacturer Nokia has been described by BBC News as "a disaster for all concerned."The company took a $7.6 billion writedown £5.2 billion from the deal last year, which was more than the $7.2 billion £4.9 billion that it actually paid to acquire Nokia's phone division.NOW WATCH: Only in San Francisco — inside the 232-square-foot micro apartment that sold for nearly $425,000Loading video...
Microsoft has announced it is selling the feature phone business it acquired from Nokia to FIH Mobile, a subsidiary of Foxconn, and the newly-established Finnish company HMD Global for $350 million.But Nokia is still a mobile phone company at heart, and it has previously hinted at a comeback, only this time around it would focus solely on designing products and then license the designs and Nokia brand to someone that can handle manufacturing, sales and distribution.HMD Global is a recently-founded company headquartered in Helsinki, Finland, to be run by former Nokia and Microsoft executive Arto Numella.The company has signed a licensing agreement with Nokia Technologies that gives it the sole use of the Nokia brand on mobile phones and tablets worldwide for the next decade, as well as key cellular patents.HMD will make Nokia-branded phones using Google's Android and will invest $500 million over the next three years "to support the global marketing of Nokia-branded mobile phones and tablets.Some rumors say Microsoft may be focusing on a Surface Phone launch next year and it's unlikely we'll see another Lumia this year.
Microsoft has announced that it s selling its feature phone business for $350 million in a group deal to FIH Mobile, a subsidiary of Chinese hardware manufacturer Foxconn, which manufactures iPhones for Apple, and a newly formed company called HMD Global.The transaction is expected to be finalized in the second half of this year.The new firm plans to invest more than $500 million over the next three years to market its mobile products worldwide.Hopefully, its launch with HMD will see its products in stores across the globe soon.The sale will not affect Microsoft s Windows-based mobile operations.Nokia signs strategic brand and intellectual property licensing agreement enabling HMD global to create new generation of Nokia-branded mobile phones and tablets on NokiaRead next: 3 creative ways to monetize your Instagram following
The Nokia brand is set to return to smartphones, two years after the Finnish company sold its flagship handset business and walked away defeated by Apple Inc. and Samsung Electronics Co.Nokia Oyj said Wednesday it will license its brand to a Helsinki-based company run by former Nokia managers, HMD Global Oy, which plans investments topping $500 million to bring mobile phones and tablets to the market.FIH Mobile Ltd., part of Foxconn Technology Group, will help to build the devices.HMD will be in charge of designing, making and selling the devices, said Ramzi Haidamus, president of Nokia s IP-licensing business.If things don t live up to expectations, the company isn t saddled with enormous inventory and expense still on the books, said Ramon Llamas, an analyst at IDC.Nokia and HMD will be trying to crack a tough market with Samsung, Apple and Huawei Technologies Co. dominating smartphone sales with about half of the total 334 million high-end phones shipped in the first quarter, according to data from researcher IDC.Royal Philips Electronics NV sold its television business to TPV Technology, which kept the Dutch company s name on its sets.For Finns, the deal may restore some national pride in the country s best-known company.The sale of the business, less than three years after then-Chief Executive Officer Stephen Elop joined Nokia from Microsoft, prompted Ilta-Sanomat, Finland s biggest tabloid, to called him a Trojan Horse who assisted Microsoft all along.HMD is now acquiring the rights for the next decade.Nokia more recently has been getting most of its revenue from wireless network equipment and related software and services.
Microsoft is selling the feature phone business it acquired from Nokia back in 2013 to a subsidiary of Chinese manufacturer Foxconn for $350 million, it announced today.At the same time former owner Nokia said it has inked a deal to license its brand to HMD Global, a new Finnish company run by ex-Nokia and Microsoft devices staff, to create a new generation of Nokia-branded mobile phones and tablets .Holding onto a diminishing feature phones business clearly did not hold much appeal for Redmond which — despite its talk of continued development of its own smartphone platform — has been focusing its efforts on building up a services offering via apps made for Android and iOS devices.Last month, for example, it brought its Word Flow keyboard app, originally developed, for Windows over to iOS as an app.The company had already been testing a brand licensing strategy in mobile devices, working with Foxconn on an Android based tablet, the N1, for the Asian market back in 2015.Commenting on the impending return of the Nokia brand to the mobile market, Ramzi Haidamus, president of Nokia Technologies, dubbed it an exciting new chapter , adding in a statement: Instead of Nokia returning to manufacturing mobile phones itself, HMD plans to produce mobile phones and tablets that can leverage and grow the value of the Nokia brand in global markets.
Microsoft sells feature phone business to Foxconn subsidiary while Nokia licenses famous brand to HMD globalMicrosoft has sold its feature phone business to Foxconn subsidiary FIH and the newly-founded Finnish firm HMD global for $350 million £242m , in a move that will see the Nokia brand return to mobile devices for the next decade.As part of the transaction, FIH will acquire Microsoft s feature phone assets, including brands, software, services, customer support and contracts, as well as a manufacturing facility in Vietnam.Today marks the beginning of an exciting new chapter for the Nokia brand in an industry where Nokia remains a truly iconic name, said Ramzi Haidamus, president of Nokia Technologies.Working with HMD and FIH will let us participate in one of the largest consumer electronics markets in the world while staying true to our licensing business model.Microsoft has said it is still committed to Windows 10 mobile and is reportedly working on new smartphones running the platform.According to Kantar Worldpanel, Windows accounts for 6.2 percent of the UK smartphone market and 4.9 percent of sales in Europe s five biggest countries.
Nokia's back, baby!On Wednesday, Microsoft announced plans to sell the Nokia brand for old-fashioned featurephones for a cool $350 million to the Taiwanese smartphone manufacturer Foxconn, best known as the manufacturer of the iPhone.Back in 2014, Microsoft officially ditched the Nokia brand for its smartphones, focusing on its Lumia and Windows Phone products.As a result, the once independent Finnish company's name is now most commonly associated with Snake II, teenagers' first phones circa 2002, and drug dealers.But while Nokia and featurephones have faded from view in the West, they remain a huge market globally.And at the iPod's all-time high, in 2008, 58.3 million units were sold — one-tenth the size of the dumbphone industry in 2015.The featurephone market is even an order of magnitude larger than the global auto market, which shipped 72.4 million vehicles in 2015, according to data compiled by Statista.Amid Apple CEO Tim Cook's visit to India this week, people are raving about the potential the region holds for the smartphone industry's growth.There are a "billion phone sales at stake," Bloomberg wrote.And while there is certainly potential there, the established featurephone market isn't going anywhere anytime soon.Cook acknowledged as much on the California-based company's quarterly earnings call last month, telling analysts: "The smartphones that are working there are low end, primarily because of the network and the economics, so the market potential has not been as great there."So while you might not use a Nokia dumbphone anymore, a hell of a lot of people still do.SEE ALSO: Apple is on a charm offensive in ChinaNOW WATCH: Your smartphone could be causing your face to break outLoading video...
The $350 million deal will see the American company's "entry-level feature phone assets," including 4,500 staff, transferred over to Foxconn subsidiary FIH Mobile Ltd.As part of the deal, Microsoft will also be transferring the rights to all of its feature phone brands, which would include Nokia.All of which sounds very dramatic, but actually isn't at all.Microsoft's feature phones only really had a presence in select developing markets, and the company hasn't issued any notable support to its existing devices for almost two years.It's been exclusively focused on Windows Phone ever since, believe it or not."Microsoft will continue to develop Windows 10 Mobile and support Lumia phones such as the Lumia 650, Lumia 950 and Lumia 950 XL, and phones from OEM partners like Acer, Alcatel, HP, Trinity and VAIO," reads the company statement.Related: Microsoft Surface phone: 5 features we could seeWhich hopefully translates to: "Just hold out for the Surface Phone.
Image caption Microsoft's feature phones run a small number of apps but are less capable than smartphonesMicrosoft is pulling out of the "feature" phones business.The Nokia brand is very strong in certain markets too and HMD will probably target these emerging markets."Calling NokiaIn a separate agreement, HMD has acquired the exclusive rights to use Nokia's name for a new range of smartphones and tablets.The executive worked at Nokia for 13 years, serving as its chief procurement officer until 2012."Branding has become a critical differentiator in mobile phones, which is why our business model is centred on the unique asset of the Nokia brand and our extensive experience in sales and marketing," said HMD's chief executive Arto Nummela.But the deal allows it to benefit from its mobile legacy without taking on much risk itself.