Microsoft sells feature phone business to Foxconn subsidiary while Nokia licenses famous brand to HMD global
Microsoft has sold its feature phone business to Foxconn subsidiary FIH and the newly-founded Finnish firm HMD global for $350 million £242m , in a move that will see the Nokia brand return to mobile devices for the next decade.
As part of the transaction, FIH will acquire Microsoft s feature phone assets, including brands, software, services, customer support and contracts, as well as a manufacturing facility in Vietnam.
Today marks the beginning of an exciting new chapter for the Nokia brand in an industry where Nokia remains a truly iconic name, said Ramzi Haidamus, president of Nokia Technologies.
Working with HMD and FIH will let us participate in one of the largest consumer electronics markets in the world while staying true to our licensing business model.
Microsoft has said it is still committed to Windows 10 mobile and is reportedly working on new smartphones running the platform.
According to Kantar Worldpanel, Windows accounts for 6.2 percent of the UK smartphone market and 4.9 percent of sales in Europe s five biggest countries.