In a surprise move, Microsoft announced Monday evening that it has inked a deal with Nokia to acquire “substantially all of Nokia’s Devices & Services business, license Nokia’s patents, and license and use Nokia’s mapping services.”
The total price of the deal is EUR 5.44 billion in cash, which is currently worth $7.17 billion in U.S. dollars.
Nokia's shareholders have approved the sale of its devices & services unit to Microsoft at an EGM held today in Helsinki, the FT reports. The transaction is still expected to close in the first quarter of next year, with Nokia in a caretaker role of its own mobile making division until early 2014.
It's the end of an era for Nokia.
Nokia today filed its 20-F financial report for the last fiscal year, in which it reiterated its projections for the next year ahead on device sales and margins for both devices and services, as well as for its Nokia Siemens Networks division.
The wheel of fortune symbolism is clear: as Apple prepares to break ground on a new UFO-esque HQ, the former kingpin of mobile, Nokia, is quietly preparing to move out of its own headquarters - to make way for Microsoft.
Finland's Taloussanmat reports that Nokia will be moving out of its current headquarters (pictured above) in Espoo, Finland, once the sale of its Devices & Services unit to Mi
The Federal Trade Commission has signed off on the Nokia-Microsoft deal, meaning that there is little if anything left that could derail the potential marriage of Microsoft's money and Nokia's hardware business.
The deal, worth around $7.2 billion, will see Microsoft absorb the largest OEM for its Windows Phone line of smartphones.
Today the European Union signed off on Microsoft's purchase of Nokia's handset business, a transaction worth more than $7 billion. Recently, the deal was approved by Nokia's shareholders, and the United States government.
Little remains in the way of Microsoft's absorbing Nokia's hardware business.
Nokia is preparing to become a very different animal. The company whose name is still synonymous with mobile phones in certain parts of the world will - barring a last-minute bout of nerves from the company board - hand off its devices & services unit to Microsoft early next year in exchange for $7.2 billion.