Microsoft and Nokia are finally making amends to save their mobile businesses after going back and forth with their deals and acquisitions. And the latter (with which Indians have a long fond memory) is finally making a comeback.

Microsoft has today announced that its selling part of the mobile hardware business that it acquired from Nokia back in 2014. Microsoft has finally reached an agreement to sell its entry-level feature phone business to Foxconn Technology subsidiary, FIH Mobile Ltd. and HMD Global,Oy for a meagre sum of $350 million. After the completion of the agreement, about 4500 employees will be transferred to and will have the opportunity to join either FIH Mobile or HMD Global.

HMD Global, Oy is a newly founded company in Finland, the home of the ex-mobile giant Nokia. In another strategic agreement with HMD, Nokia is finally making its much awaited return to the mobile and tablet market on a global scale. The agreement grants HMD with brand rights and intellectual property licensing from Nokia. This news comes in-parallel to Microsoft announcing the conditional transfer of rights to HMD to use the Nokia branding on feature phones and other design related rights.

Microsoft still retains the right to use and build Windows 10 Mobile phones under the Lumia moniker, and support phones from other OEM partners like Acer, Alcatel, HP, Trinity and VAIO.

As part of Microsoft’s feature phone deal, the company will eventually transfer all of its feature phone assets, including software, brand, services and even the care network. It will also transfer other assets, including customer contracts, and critical supply agreements. So yes, Windows Phones are now virtually dead.

The agreement is expected to be finalized in the second quarter of 2016, same as Nokia.

By: DocMemory
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