Nokia, Microsoft, Acquisitions and Who is going where
Microsoft today announced that they are buying Nokia’s mobile division along with some key assets, including employees and licenses. Though many saw it coming, for others, it is still a surprise. We took a look at what went out, what will come in, and how things are shuffling around.
What Microsoft Acquired & Licensed:
Acquisitions:
- Nokia’s Devices & Services business (Smartphone and Mobile phone businesses)
- Design team, manufacturing, and assembly facilities around the world.
- Operations, sales, marketing, and support teams.
- Qualcomm’s and other key IP licenses.
Licenses:
- Nokia Here Maps broadly in its products.
- Nokia’s Patents for use across all Microsoft products.
What is left with Nokia :
- NSN,
- HERE and Advanced Technologies.
- Its CTO Office and Patent Portfolio
Nokia claims that they are doing well in their areas. I am sure Nokia saw this coming for a long time, and they never stopped investing in the businesses they already had. The recent announcement of getting Here Maps to car dashboard is a clear sign that Nokia is not going anywhere.
Who does what from Nokia in Microsoft after the acquisition is complete :
| Name | New Responsibility | Reports to / Works with | Current Responsibility |
|---|---|---|---|
| Stephen Elop | Leads the Devices & Services team | Steve Balmer | Nokia CEO |
| Julie Larson-Green | Join Stephen’s team | Stephen Elop | Leads Devices and Studios team. |
| Jo Harlow | Smart Devices team | Stephen Elop | Leads Smart Devices team at Nokia |
| Timo Toikkanen | Mobile Phones team | Stephen Elop | Mobile Phones team at Nokia |
| Stefan Pannenbecker | Lead Design | Stephen Elop | The lead Design team at Nokia |
| Chris Weber | Part of Sales Team | Kevin Turner | Leads Devices Sales Marketing at Nokia |
What is yet to be figured out:
Nokia has awesome customer service when it comes to phones. It has made its presence worldwide where Microsoft has never reached. As a matter of fact, Microsoft has never reached beyond the US. Microsoft should now take this opportunity and get into the market. As a matter of fact, they should change the brand and let everything be the same and let everybody do what they are doing already.
So MS is yet to figure out how to combine the Nokia services for devices into Microsoft services. Also, they don’t have any plans to shift Nokia’s work and team geographically.
Microsoft last chance to set its foot in the Mobile Market:
Finally, Microsoft has a mobile division like its competitors Google and Apple. Apparently, this is also its last chance to break or make Windows Phone and their mobile division.
- Nokia has a huge market share in emerging markets, and this is one reason they never stopped making featured phones and why Lumia 520 is a major success everywhere. Microsoft can now use this potential to set its foot into that area and convert those featured phone users into Windows Phone users by a well-thought strategy.
- Microsoft has the complete Nokia Mobile Division Team. Elop, Designers, Marketing leads, and more. If they are given the same kind of freedom they had while working in Nokia, I am sure Windows Phone can go places and increase their market share.
Some Interesting notes in the Official Press release from Microsoft:
- Nokia will continue to improve these apps for other platforms — HERE Maps coming for all platforms in the future?
- Mapping and Data services are under a four-year agreement.
- Here Maps data can be syndicated to customers using Windows Azure.
- MS is at liberty to combine data from Here Maps and other data sources.
Sources: Nokia Conversation; Microsoft News
