Word had earlier leaked that ‘Nokia Oyj’ was going to be renamed ‘Microsoft Mobile Oy’ under MS, which led to speculation that the deal was about to close and things have now become official. In a blog post on the official Microsoft blog, the company has announced that the Nokia acquisition will be complete come April 25. The transaction had been first announced in September 2013, and had been expected to be complete in Q1 2014, but saw delays in regulatory compliance.
As it turns out, Nokia.com and Nokia’s other much loved social media properties will also be taken over by MS, and the company will operate them for ‘upto’ one year. I do hope that MS decides to keep them in the long run, as they have been instrumental in getting Nokia the kind of loyal support that it enjoys amongst its users.
Another interesting piece of news is that Nokia’s Korean manufacturing facility will no longer be acquired by MS. Nokia had been having problem with tax authorities with regard to its plant in Chennai, India and it had been speculated that perhaps MS would forgo the manufacturing facility in order to hasten the closure of the deal. But it seems that the Chennai factory remains a part of the deal.
Extracts from the official post:
While the original deal did not address the management of online assets, our two companies have agreed that Microsoft will manage the nokia.com domain and social media sites for the benefit of both companies and our customers for up to a year.
- The original deal had all employees in Nokia’s Chief Technology Office continuing with Nokia. We’ve adjusted the agreement so the 21 employees in China working on mobile phones will join Microsoft and continue their work.
The original deal had Microsoft acquiring Nokia’s Korean manufacturing facility. The agreement was adjusted and Microsoft will not acquire the facility.
While it will be hard for loyalists to say goodbye Nokia, it won’t be a bad time to say hello Microsoft Mobile.