The sale of Nokia Mobile Phone unit to Microsoft was just completed. Nokia announced that the $7.5 billion deal is now closed.
The fact that Microsoft will purchase the phone unit of Nokia has been announced quite some time ago. Apparently, the deal is final now. Nokia had been a leading phone maker for years, but the growth of companies such as Apple and Samsung in the mobile world has put the famous company in the shadows. It has been claimed that Nokia failed to reach the level of development in smartphones such as the iPhone and the ones based on Google’s Android operating system.
Nokia was actually first released in 1856. The company started with paper making activities and evolved throughout the years in quite a spectacular way. Now, part of the famous company is owned by Microsoft. The official announcement of the new addition to the company was made on Friday.
Actually, Nokia said that the price of the purchase increased now, compared to the sum that was originally announced. The announcement on this deal was first made in September. Apparently, more money was added for net working capital and cash earnings, reps for Nokia claimed.
In fact, the deal should have been closed sooner, but it seems that some delays were registered due to the lack of approvals in China, as well as in other locations. Microsoft expected the deal to be final in the first quarter of 2014, but apparently, the famous company had to wait a little more.
Starting with 2011, Nokia has been using the Windows based mobile operating system developed by Microsoft. However, the smartphone produced by Nokia failed to become successful, most likely because of the great competition on this market and the cheap alternatives offered by smartphone makers in Asia.
The future plans that Nokia has when it comes to its development have not been disclosed for now. This means that it is yet to find out what the company plans on focusing on. Some reports indicate that following this purchase, the chief executive of Nokia will change. Who will be the next chief executive for the company is widely unknown.