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Report: Microsoft to Buy Nokia Mobile Division

by - source: Eldar Murtazin

It’s been a big year for Microsoft so far. Between signing a landmark deal with Nokia and its more recent bid to purchase Skype, the Redmond team has certainly been busy. However, it seems Ballmer and co. may have another trick up their sleeve for us.

The latest scuttlebutt says Microsoft has its eye on Nokia and the two companies will be entering discussions next week. If fruitful, they would see Nokia’s mobile phone division sold to Microsoft. The source of these reports is Russian blogger Eldar Murtazin. Murtazin focuses mostly on phones and has a pretty decent track record. Though he doesn’t know the finer details, Murtazin claims both parties are in a hurry and that the deal could close before the end of this year.

Of course, lending credence to the rumors, is the fact that Nokia recently signed a deal with Microsoft that will see Windows Phone 7 become the Finnish company’s primary smartphone OS. Prior to this decision, Nokia was very dedicated to its own software and desperate to differentiate itself from other manufacturers by developing its own OS. That all changed when current CEO Stephen Elop took the reigns. Oh, and did we mention that he's a former Microsoft employee?

For its part, Nokia has rubbished the rumors, labeling them inaccurate:

"We typically don't comment on rumours. But we have to say that Eldar's rumors are getting obviously less accurate with every passing moment," said Mark Squires, Nokia's UK director of communications.

What do you think of a Microsoft-owned Nokia? Let us know!

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MKeeper 17/05/2011 11:20
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for a company with $50 billion in cash in their bank account, I can think of worse aquisitions ..

I don't think it'll actually happen, but it would certainly give Microsoft a unique opportunity to truly develop a properly integrated mobile device...

wonder if they are rushing it to try and catch up with impending Win8 launch cycles?

Silmarunya 17/05/2011 17:14
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A company with a revenue of 42,5 billion dollars? MS' 50 billion dollars won't last long if they try to buy companies that big.

However, the ability to control both hard- and software is a huge boon for walled-garden OS'es such as iOS and WP7. They could get the same consistent brand image that Apple has, but with a wider range of options.

I'm concerned about the fate of Nokia's low-end handset division. Apart from being good business, it has a huge social and economical function in the developing world: a cheap, rugged phone is hugely important for farmers in the third world, offering quick and reliable information and banking.

may1 17/05/2011 19:40
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No no no ... this is bad

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