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Microsoft to buy Nokia for $7.2 billion




Some might have seen it coming, some might have not. For 2 and a half years, Microsoft and Nokia had a partnership for pushing forward Windows Phone, and now it seems like that is coming to an end – the Redmond company finally buying Nokia for $7.2 billion.

MS NOKIA

“We will continue to build the mobile phones you’ve come to love, while investing in the future – new phones and services that combine the best of Microsoft and the best of Nokia.”

What MS is purchasing is most of the company – including the device division of course. What’s left of Nokia are its network infrastructure (NSN), its HERE services and Advanced Technologies.

The transaction will close early on next year, 2014. With all of that said, we know a few things. We won’t ever see a Nokia running Android, Microsoft’s hardware including the Surface might utilize Nokia’s hardware, and Nokia CEO Stephen Elop might replace Ballmer after all.

Editor’s Note: In 2012, we predicted that Microsoft will eventually buy Nokia for under $30 billion. It took 18 months for the prediction to come true but we were off by as much as $23 billion.

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Bob Freking occasionally contributes articles to the website. He is a UST Graduate of Commerce & Business Administration, Major in Marketing Management, and a full-time Sith Lord with three dragons.

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39 Responses

  1. Ymi says:

    at least Microsoft is trying to save a company that have trusted and invested on them too great.

  2. Wally Bayola says:

    like ko microsoft at nokia

  3. Clark says:

    This was expected 3 years ago when they partnered to make Windows Phone. Same as Google, it acquired Motorola Mobile Division.

  4. gamayq says:

    They are NOT buying Nokia. They are just purchasing the device and services devision. Please get your story straight. They won’t even get to use the Nokia name/brand.

    • Epstein says:

      It is the same headline used by other International blogs. The Devices and Services division is the largest.

    • Name: Jan says:

      that’s true..the title is misleading.

    • Master says:

      E si bob-Fucking ba naman author e, malamang mali na naman. La kwents. Kakatamad tuloy magbasa dito sa yugatech. I dont know why they’re sticking with bob!

    • thebigc says:

      Microsoft can’t buy the whole nokia. The infrastructure business of Nokia is a partnership with Siemens that’s why it is called NSN, not a business for MS.

      Let’s hope we can see good quality and appealing products from them in the future. They showed it with Zune & Surface but they are late releasing it in a market that is already owned by others.

      How about a Windows Phone that can run android apps natively. It’s doable since they have licensing agreement with it.

    • thebigc says:

      Just want to correct my previous post. As of July Nokia bought the controlling stake of NSN. Still not a business for MS. HERE maps will still be with Nokia but I think another company will buy this. Calling the company with a map application that sucks.

    • silent b0bjay says:

      wag naman awayin c bob :(
      puff and pass na muna tayo <3

    • zarne says:

      Nokia is synonymous with phone and phone making is their heart and soul.Sad to see Nokia go but the silver lining is that the company will be able to save thousands of jobs. I think Microsoft also bought patents and trade names/licenses for 10 years so they should be able to use Nokia brands on the phones.

  5. Iyan Sommerset says:

    As long as they keep the candybar/non-smartphones coming/supported, I’m happy with that.

    One thought though: Nokia Xbox Phone. N-gage reboot. Lawl.

  6. mendeex3 says:

    “Editor’s Note: In 2012, we predicted that Microsoft will eventually buy Nokia for under $30 billion. It took 18 months for the prediction to come true but we were off by as much as $23 billion.” – no surprise for the lower figures because Microsoft only bought (or will buy?) Nokia’s phone unit/division and not the whole company.

  7. chinitoguy30 says:

    So excited when I replace my iPhone 5 next year I will be switching to Windows Phone and Windows 8 next year. 2014 and 2015 will mark the return of Microsoft’s glory days.

    • john says:

      return of microsofts glory? Seriously did you think that microsoft lost anything? I mean billions of PC run on microsofts OS. lol and thats just a part of their fundings.

  8. ross says:

    ang yaman talaga ng Microsoft

  9. Jan says:

    poor nokia.. they make great hardware.

  10. I think the whole purpose of this is not to quit the phone industry but saving it and microsoft is expanding its market. I do hope that this will be a great comeback for nokia.

  11. someone says:

    Is Microsoft re-imaging themselves to be a smartphone / device manufacturer like Apple? How would this impact their ties with other manufacturers that produces Windows-powered smartphones and tablets?

  12. Kebbot says:

    I knew it, from the moment elop steps in to nokia. He did a good job on plummeting the value of nokia. Then now Microsoft wants to buy it…

  13. reinramirez says:

    isa lang talaga malinaw, goodbye nokia+android phone.

  14. iRonzkie says:

    Atat na talaga ako bumili ng Windows Phone esp. Nokia Lumia Series kasi maganda hardware at awesome camera pero yun nga lang kulang tlga support ang mga software Apps nla.. Sana naman improve nila yung mga Apps kasi aanhin mo man maganda Specs ng Phone mo kung yung Apps naman puro Bug.. eh walang kwenta parin.. hanggang text, call, camera at browsing ka lng.. sana pagtulongan ng MS at yun mga Apps company tulad ng FB, Twitter, Skype, Instagram, at Viber.. yan lng kahit yan muna 4 bibili na tlga ako Nokia Lumia 1020.. :D

    • angbot says:

      lahat po ng sinabi nyong apps matagal ng meron. May mga 3rd party apps na mas maganda pa kesa sa makikita sa ibang platforms tulad ng 6tag, metrotube, etc

  15. YuYu says:

    On that note, what is a good Windows 8 tablet w/ a similar form factor of a Galaxy Tab and Tab-like battery life w/c is not a Surface RT? Been scanning the web a few days ago but didn’t find one that fits my need and budget.

  16. diorarat says:

    Why? Lumias are starting to gain grounds on European markets especially in the UK. And why now when Ballmer is retireing as Microsoft’s CEO? Is he training someone to replace him?

  17. wew says:

    we will now be seeing lumia devices with microsoft logo lol =))) anyway sana hindi nila tanggalin sa upcoming lumia devices ung mga galing sa nokia like carl zeiss,clearblack display,etc.

  18. Mr. Curious says:

    just imagine if MS will fund their app developers to create apps like the ones in androids and iOS to put them all in nokia windows phones.

  19. metre9dmt says:

    Nokia had it coming: having a CEO who worked for Microsoft before joining them, it was inevitable. Saying that Nokia phone OSes was crap and then adapting Windows Phone as their choice for high-end/smartphone OS while maintaining S40 system for the low-end phone OS. Ngaun nasa Microsoft na sila, S40 phones will definitely dissappear… :-(

  20. John Danvic says:

    How the article retold the events were very misleading. Microsoft will not buy Nokia in its entirety.

    The transaction includes Microsoft buying Nokia’s Device and Services Business worth EUR 3.79 billion.

    It also includes Microsoft entering a 10-year “non-exclusive” license just to use Nokia’s existing patents. Therefore, these patents are NOT SOLD to Microsoft. This transaction is worth EUR 1.65 billion.

    EUR 3.79 billion + EUR 1.65 billion = EUR 5.44 billion – total cost of the transaction (US$7.2 billion when converted).

    The article did not state these.

  21. landik says:

    indeed, impress ako sa design and hardware of nokia, ang may defect lang naman kasi ang OS na ginagamit eh, microsoft (oh baka sinadya lang na ipanget para ma give up ang nokia to sell hardwares and be own by microsoft)(opinionated)

  22. komar says:

    Na-microsoft dre

  23. romspl says:

    Ayos pwede na exe sa lumia, daming apps nun…

  24. romspl says:

    MS can now incorporate exe files to WP8…

  25. snowed says:

    epic fail

  26. ivan says:

    wow! Google buys a car radio manufacturer,then Nokia buys paper and rubber manufacturer

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