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.
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?
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 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
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.
The Finnish company has reentered the mobile phone and tablet markets on a global basis, now that Microsoft's control of its name has ended.The Nokia brand and its intellectual property will be licensed to HMD Global, a newly created Finnish company which will develop, produce and sell a range of Android smartphones and tablets.The new company intends to invest over $500m £345m over the next three years to support the global marketing of Nokia-branded phones and tablets.An exciting new chapterRamzi Haidamus, president of Nokia Technologies, said in a statement on 18 May: "Today marks the beginning of an exciting new chapter for the Nokia brand in an industry where Nokia remains a truly iconic name.Nummela says HMD will be "completely focused" in creating a "unified range of Nokia-branded mobile phones and tablets, which we know will resonate with consumers...our business model is centred on the unique asset of the Nokia brand and our extensive experience in sales and marketing."Nokia recently announced plans to buy Withings, the smartwatch and smart bathroom scale maker, and is currently producing the Ozo, a £43,000 camera rig which can shoot 360-degree video and audio, intended for virtual reality film making.
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.
Microsoft is selling its feature phone business to FIH Mobile, a subsidiary of Hon Hai/Foxconn Technology Group, and Finnish company HMD Global for $350m.As part of the deal, Microsoft will transfer "substantially all" of its feature phone assets, including brands, software and services, care network and other assets, customer contracts, and critical supply agreements.HMD Global will use the rights to use the Nokia brand for feature phones as part of its plans to launch a new range of Nokia-branded devices, which will also include Nokia-branded smartphones and tablets using the Android operating system, a remarkable turnaround considering that Nokia only sold its smartphone business to Microsoft, which wanted to boost Windows Phone, in 2014.Microsoft made a huge bet on phones when it bought Nokia's smartphones business for $5.4bn just over two years ago.It hasn't got better since: the company has revealed it only managed to sell 2.3 million Lumia smartphones in its third quarter.While the smartphone business was the main focus of the Nokia acquisition, Microsoft also picked up Nokia's feature phone business.
Galdor's channelNokia phones are making a comeback thanks to a licensing deal struck between Microsoft, FIH Mobile—a subsidiary of Foxconn—and HMD global Oy.Those facilities, as well as Microsoft's feature phone technology, will be used to create new Nokia phones as part of an "exclusive global" licensing agreement between HMD global Oy and Nokia Technologies.The deal will allow HMD to produce phones and tablets bearing the Nokia brand name for the next 10 years.While no devices have been announced just yet, HMD plans to invest $500 million into the venture.Microsoft stopped developing feature phones—the likes of the Asha, Series 40, and Nokia X handsets—back in 2014, with one of the last to appear being the Nokia 215, which was notable for sporting a promised month-long battery life.As for the rest of Microsoft's smartphone business, the company promises that it will continue to support the likes of the Lumia 650, Lumia 950, and Lumia 950 XL.
MoreA Microsoft logo is seen on an office building in New York City in this July 28, 2015 file photo.REUTERS/Mike Segar Reuters - Microsoft Corp said it is selling its entry-level feature phone assets to FIH Mobile Ltd and HMD Global Oy for $350 million.FIH Mobile, a subsidiary of Hon Hai/Foxconn Technology Co Ltd , would also acquire Microsoft Mobile Vietnam as a part of this deal, Microsoft said.The company said its 4,500 employees from Vietnam will transfer to or will have an opportunity to join FIH Mobile or HMD Global Oy.Microsoft will transfer all of its feature phone assets, including brands, software and services, care network and other assets, customer contracts, and critical supply agreements to both the companies as a part of the deal.Reporting by Sangameswaran S in Bengaluru; Editing by Sunil Nair
Nokia 3210Nokia has announced plans to re-enter the smartphone and tablet market with a range of branded devices.The company has granted HMD, a newly-formed Finnish firm, exclusive global license to create Nokia-branded phones and tablets for the next ten years.HMD said it would invest $500 million £346m over the next three years to relaunch Nokia's phone and tablet business.The new range will run exclusively on Android, Nokia said in a statement.A separate deal between HMD and Microsoft, which purchased Nokia's device business for €5.44 billion £4.6bn in September 2013, will give the former rights to use the Nokia brand on lower-end feature phones.Microsoft's agreement with HMD is part of a wider sell-off of its entire feature phone business, which will also see some assets transferred to FIH Mobile, a subsidiary of manufacturing giant Foxconn.
The rumor came from a line in the press release from the Redmond firm, which announced that Microsoft was selling its feature phone business to FIH Mobile and HMD Global – essentially cutting off a big part from the deal it struck with Nokia in 2013.On the one hand, it's a triumphant battle cry from Microsoft, pointing out that it doesn't matter its exiting a declining featurephone market as it'll still be right behind the smartphone platform, and that's the reason it purchased Nokia anyway.Well, that kind of makes sense anyway.The heavily-rumored Surface Phone is in the offing, a high-spec device that Microsoft will concentrate its marketing efforts on in an attempt to replicate the success of the Surface tablet range that's turned into a billion-dollar line.But Microsoft, if it does drop the Lumia line, should be commended for its bravery and agility – it's not giving up on Windows 10 Mobile despite its faltering performance, and pivoting the name to improve its chances is a great thing.That said, there's still a market for the Lumia names on phones, if only just to differentiate between the high- and low-end handsets in Microsoft's portfolio – there's still a strong market for cheaper smartphones and Lumia is a better-known brand name than Surface in some regions thanks to the past performance of the 500-series phones.
Nokia has just announced that a licensing deal will see a new range of Android phones and tablets produced under its name for the next ten years.Earlier this morning, we found out that Microsoft was selling its feature phone business, branded using Nokia s name, to a Foxconn subsidiary, FIH Mobile.Now, Nokia has explained as part of the deal it s provided FIH with an exclusive global license to create a full range of Nokia-branded smartphones, tablets, and feature phones for the next decade .The Finnish company explains that the new smartphones and tablets will be based on Android, though there aren t any more details right now.You may, however, be in for a wait before you re toting a new Android-loaded Nokia.There is still much work for HMD to do, so you ll need to wait a bit longer to see what the next wave of Nokia phones and tablets look like, explains the firm.
Nokia was the largest mobile manufacturer in the world during the late '90s and mid '00sNokia is making a comeback, releasing a new range of feature phones and tablets.The move was seen as a last-ditch attempt for the two technology giants to join forces and challenge the dominance of Apple and Google, but the pair have failed to create a meaningful phone challenger.Microsoft's Lumia range: soon to be a thing of the past?HMD has now purchased the rights to use the Nokia trademark on feature phones until 2024, and all remaining feature phone assets, including sales, manufacturing and distribution, will be sold to FIH Mobile Limited - a subsidiary of electronics manufacturer Foxxconn, best-known as one of Apple's largest suppliers for iPhone.Microsoft too has been struggling: rumours suggest plans to axe the poorly-selling Lumia line and reinvigorate its smartphones with a new Surface Phone.Lack of popular apps and an unpopular ecosystem means Microsoft holds less than 2 per cent of the global smartphone market, and sold just 2.3 million units during the first three months of the year.