Danske Bank: Nokia to sell smartphone division to Microsoft in H1 2012

Danske Bank: Nokia to sell smartphone division to Microsoft in H1 2012In news that’s sure to send Mobot’s Jan up in arms, Danske Bank, Denmark’s largest, has fired out a report claiming that Nokia will sell its smartphone division to Microsoft in the first half of space year 2012AD.

Taloussanomat, the Finnish news publication that first published the story, acknowledges that the rumour has been “around for quite some time”.

Indeed, the rumour began pretty much as soon as Nokia announced that they’d chosen Windows Phone 7 as their “primary smartphone platform” – ultimately ditching MeeGo and the ailing Symbian. Mostly.

Many cynics cried “Trojan horse!” as Nokia’s CEO, Stephen Elop, had made the jump from Microsoft just a few short months before.

It might seem odd that Microsoft could potentially do battle with the very manufacturers it sells licenses to (HTC, Samsung et al), but it wouldn’t be a far cry from the Google/Android/Motorola situation.

Surprisingly, Nokia spokesperson Mona Kokkonen has denied the rumour on behalf of the Finns. I half expected her to say: “Aye, it’s a possibility. Stay tuned.” Ahem.

Read more about: MeeGoSymbianWindows Phone

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JanSt / MOD  Dec. 15, 2011 at 16:18

I hate Microsoft. So, yes... Goodbye, Nokia. :p

Stelph  Dec. 15, 2011 at 18:41

If this actually happens surely this is an even bigger deal than microsofts "browser wars" saga since there is absolutely no way Microsoft couldn't disagree that this was essentially a Trojan horse operation. I've been loathed to say that before but with all the decisions that have been made by elop this year and if it ended this way then I'd be forced to agree with the conspiring theory people!

JanSt / MOD  Dec. 15, 2011 at 19:07

Stelph, indeed ;)

Also, I wonder what the EU will say to a deal of that calibre?

Stelph  Dec. 16, 2011 at 10:57

You would hope they would step in considering how fast its all happened. I cant find the article now but I thimk mobot retweeted a link where the author discussed the history of Nokia and pointed out how amazing it is that Nokias smartphone division has been driven into the ground this year, for microsoft to then buy the division at what will be a cut down price.... quesitons must be asked

tiiimmmmy  Dec. 16, 2011 at 11:57

id love to punch both of those pr1cks

JanSt / MOD  Dec. 16, 2011 at 11:59

I think it was me retweeting @TomiAhonen - he used to work for Nokia. And he gives Elop a LOT of heat on Twitter hahahaha

But it's a serious matter, indeed.

Stelph  Dec. 16, 2011 at 15:36

Ah yeah thats the one, was a good (if slightly long) read but certainly made some good points backed up by hard facts, I did think it glossed over the fact that Nokia were in trouble back in Xmas 2010 as Sybian was getting slated and Meego just seemed to be getting delay after delay, but it did quite rightly point out that Elops slating of symbian, followed by decision to ditch Meego and go with Windows was quite an odd decision by someone who mustve known that by the middle of this year the N9 would be coming out!

JanSt / MOD  Dec. 16, 2011 at 16:25

Well... Elop was in charge of Microsoft Office LOL Libre and Open Office do the same for FREE... That's his mindset. Before that Adobe. He can't possible grasp something like MeeGo.

JanSt / MOD  Dec. 16, 2011 at 18:54

id love to punch both of those pr1cks

I cannot possibly endorse that ;)


equ  Dec. 16, 2011 at 19:02

It does seem to be part of a "Grand plan" as back in 2010 Nokia's 25% market share in the smartphone market looked a great launch pad to turn WP into a serious platform (Bosses looking at 25% Nokia + Microsofts 11% = 36% market share = Major Player).
The plan fell down as WP7 has not even kept the share WM6.5 had (11% dropping to ~2%) and Nokia down to 16% (And these are still Symbion not WP devices.), and the explosive and currently unstoppable march of Android.

Nokia cant afford to play the long game (They would go bankrupt) so it make sence to sell the failing "Smartphone Division" (Probberbly a "prearranged-out if WP fails"). Then build a new smart phone division with somthing new or Meego or go back to their original "Plan" of running Symbion and Meego side by side with QT framework as the development platform. Do they still own enouth of the rights to make their own smartphones now?

JanSt / MOD  Dec. 16, 2011 at 21:18

No one knows what the deal with MS will be exactly. Given Nokia's standing in Finland, and the impact on the EU to have a US giant plant its smelly foot in the door, it'll be a long process, methinks.

And yes, Nokia can go back to MeeGo, Symbian...there is also an Ubuntu (Linux freeware) mobile OS in the pipeline, that may become relevant. Who knows?

equ  Dec. 17, 2011 at 12:28

I did start with "It does seem" as I know its speculation other than the currently known "Facts"
1:Android is currently unstoppable momentum in the market.
2:Apple are the only ones that are doing well in the market
3:WP7 sales have been a disaster so far (Microsoft would not have pulled WM6.5 off the market if they had expected possible 6.5 sales to go to Android and Apple instead of WP7)
4:Nokia financhal position is not strong enouth to bleed money at the current rate without serious problems and/or board room changes.

Besides Nokia selling its "Smartphone Division" is basicly a office building with a few programmers and admin, the manufaturing was all subbed out so the bit the EU/Finland would want keeping out of Microsofts hands is not for sale under that rumer, Id dout Microsoft would even get to use the name Nokia.....

JanSt / MOD  Dec. 17, 2011 at 13:42

Yes, I think MS will call the phones "UnSellAbleX" - postmodern irony via Ballmer ;)


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