Microsoft, Nokia acquisition deal to close Friday
A deal between Microsoft and Nokia is closing this Friday, when Microsoft will officially acquire Nokia's Devices and Services business, according to GigaOM and Microsoft's blog. The deal will mean that Nokia's phones will become Microsoft phones, adding to Microsoft's mobile phone efforts.
Microsoft and Nokia initially announced the deal in September 2013 but due to delays it will not close until the end of April 2014. The acquisition strategy for Microsoft in buying Nokia was to help the company with its efforts in the mobile market. The New York Times reported in September that Nokia's 32,000 employees would join Microsoft, along with Stephen Elop, Nokia CEO, who would come on board once the deal had closed. As the article notes, Nokia had once been a prominent player in the mobile phone market, but lost that status as smart phones proliferated and Apple and Samsung came to dominate the market.
In a statement on Microsoft's blog, Brad Smith, General Counsel & Executive Vice President, Legal & Corporate Affairs for Microsoft detailed that the deal would be finalized April 25.
"The completion of this acquisition follows several months of planning and will mark a key step on the journey towards integration. This acquisition will help Microsoft accelerate innovation and market adoption for Windows Phones. In addition, we look forward to introducing the next billion customers to Microsoft services via Nokia mobile phones," said Smith in the statement.
Leading up to the closing, adjustments were made to the original deal, such as Microsoft will be in charge of managing online assets like nokia.com, adjustments to Nokia employees that will be joining Microsoft and that Microsoft was originally going to acquire a Nokia manufacturing facility in Korea, but will not be, according to the final deal.