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Rumours have spread like wildfire that the Finnish mobile manufacturer <keyword id="6354716" type="CITY" weightage="80" keywordseo="Nokia">Nokia</keyword>, now owned by <keyword id="10387" type="CITY" weightage="40" keywordseo="Microsoft">Microsoft</keyword>, will launch an <keyword id="6355645" type="COMPANY" weightage="40" keywordseo="android">Android</keyword> smartphone. But these rumours no longer seem just like an anecdote. Nokia could really pull a rabbit out of its hat and reveal its first Android Smartphone. Reports suggest that its will be a budget Android mobile under Rs 10,000 and will not run Android KitKat, but a previous version of the OS. 
 The screen will be small somewhat like the <keyword id="816046" type="UNKNOWN" weightage="40" keywordseo="Nokia-Asha">Nokia Asha</keyword> 501 and will cater to basic needs of the user. It will not be an Android powerhouse, but something that will be a stepping stone for Nokia to test the Android waters. After the phone the rumours are quite strong for an Android tablet as well. However, we would not see an Android tablet coming from their camp anytime soon. 
 Maybe an Android Nokia is just what the company needs to revive itself and get back to the profitable path it once rolled on. We shall get to know in couple of hours if the company is launching its first Android or not. Stay Tuned as we bring you live coverage from <keyword id="111480" type="ORGANIZATION" weightage="40" keywordseo="mobile-world-congress">Mobile World Congress</keyword> 2014.

Will Nokia Reveal Its First Android Phone Today at MWC?

<table class="image-container float_right" width="200"><tr><td><div class="image"></div>Ellis Hamburger, Business InsiderNokia CEO Stephen Elop.</td></tr></table><keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword>'s CEO <keyword id="371426" type="PERSON" weightage="60" keywordseo="Stephen-Elop">Stephen Elop</keyword> <a href="http://www.businessinsider.com/nokia-might-make-an-android-phone-2013-1">opened the possibility of making an Android phone</a> a few weeks ago in an interview with Spanish newspaper El Pais.
Today, he's changing his tune.
Elop addressed <keyword id="6355645" type="COMPANY" weightage="60" keywordseo="android">Android</keyword> on Nokia's earnings call this morning, saying the company is still committed to the Windows Phone operating system and its own Asha operating system that's used on budget-friendly smartphones.
Here's Elop, <a href="http://techcrunch.com/2013/01/24/nokia-not-considering-android-plans-its-own-low-cost-lumia-plus-asha-strategy/">according to TechCrunch's account</a> of the earnings call:
We are clearly innovating with Microsoft around Windows Phone, and are focused on taking that to lower and lower price points. You will see that over time compete with Android. But at the same time we’ve said consistently — and we’re just beginning to see it in the Asha full-touch products — that we will continue to innovate around our Asha smartphone line in order to compete with the very lowest levels of Android.
We are not in a situation where we are considering something other than Windows Phone combined with what we’re doing with Asha.
Elop took a swipe another swipe at Android, saying that <keyword id="6355629" type="CITY" weightage="60" keywordseo="Google">Google</keyword> is trying to close it off. Here's that quote <a href="http://www.theverge.com/2013/1/24/3910970/nokia-ceo-stephen-elop-google-closed-ecosystem-comment">according to The Verge</a>:
The situation that Android is facing, where the amount of fragmentation that you're seeing is increasing as people take it in different directions, is of course offset by Google's efforts to turn an open ecosystem into something that's quite a bit more closed as you've seen quite recently.
Elop could be referring to reports that Google is now working directly with its recently-acquired handset company, Motorola, <a href="http://online.wsj.com/article/SB10001424127887324731304578191711598368942.html">to make its own smartphone</a>. As we wrote a few weeks ago, it's becoming more and more likely that <a href="http://www.businessinsider.com/its-becoming-abundantly-clear-that-google-doesnt-want-to-share-android-anymore-2012-12">Google doesn't want to share Android like it used to</a>.

Nokia CEO Slams Android

<div class="image-container float_right"><div class="image">REUTERS/Adnan AbidiA model poses with the new <keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword> "E90 Communicator" phone during its launch in New Delhi June 28, 2007. </div></div>SINGAPORE/NEW DELHI (Reuters) - <keyword id="10387" type="CITY" weightage="60" keywordseo="Microsoft">Microsoft</keyword> Corp's acquisition of Nokia's handset business gives the software behemoth control of its main Windows smartphone partner, but leaves a question mark over the bigger business it has bought: Nokia's cheap and basic phones that still dominate emerging markets like India.
Microsoft Chief Executive Steve Ballmer has said he sees such phones - of which Nokia shipped more than 50 million last quarter - as an entree to more expensive fare.
"We look at that as an excellent feeder system into the smartphone world and a way to touch people with our services even on much lower-end devices in many parts of the world," he said in a conference call to analysts on Tuesday.
But analysts warn that's easier said than done.
The problem, said Jayanth Kolla, partner at Convergence Catalyst, an India-based telecom research and advisory firm, is that Microsoft simply lacks Nokia's retail and supply chain experience in the Finnish company's most important markets.
"The devices business, especially the non-smartphones business in emerging markets, is a completely different dynamic," he said.
Kolla pointed to the need to manage tight supply chains, distribution, and building brands through word-of-mouth. "Microsoft doesn't have it in its DNA to run operations at this level," he said.
India is a case in point. Nokia has been there since the mid 1990s and the country accounted for 7 percent of its 2012 revenue while the United States generated just 6 percent, according to Thomson Reuters data. Its India roots run deep: it has a presence in 200,000 outlets, 70,000 of which sell only its devices. One of its biggest plants in the world is in the southern city of Chennai.
For sure, Nokia has slipped in India as elsewhere: After nearly two decades as the market leader it was unseated by Samsung Electronics Co Ltd in overall sales last quarter.
But it still sold more of its more basic feature phones.
As recently as last October, market research company Nielsen ranked it the top handset brand. The Economic Times ranked it the country's third most trusted brand.
<h3>LOYALTY RUNS DEEP</h3>
In a land of frequent power cuts and rugged roads, the sturdiness and longer battery life of Nokia's phones have won it a loyal fan base - some of whom have stayed loyal when trading up.
Take Sunil Sachdeva, a Delhi-based executive, who has stuck with Nokia since his first phone. He has just bought his fifth: an upgrade to the Nokia Lumia smartphone running Microsoft's mobile operating system.
"Technology-wise they are still the best," he said of Nokia.
But Microsoft can't take such loyalty for granted. Challenging it and Samsung are local players such as Karbonn and Micromax, which are churning out smartphones running Google Inc's Android operating system for as little as $50.
Such players are also denting Nokia's efforts to build its Asha brand, touchscreen devices perched somewhere between a feature phone and a smartphone.
Nokia shipped 4.3 million Asha phones globally in the second quarter of this year, down from 5.0 million the previous quarter.
"The sales performance of the Asha line has been quite poor," said Sameer Singh, Hyderabad-based analyst at BitChemy Ventures, an investor in local startups. "With increasing competition from the low-end smartphone vendors, I'm unsure how long that business will last."
That leaves the cheap seats. Singh estimates that the Asia Pacific, Middle East and Africa accounted for two-thirds of Nokia's feature phone volumes in the last quarter, at an average selling price of between 25 to 30 euros ($32.99 to $39.59).
"I don't see how Microsoft can really leverage this volume," he said. "The market is extremely price sensitive and margins are racing into negative territory."
<h3>TOO BIG TO IGNORE</h3>
The quandary for Microsoft is that while the basic phone market may be declining, it may simply be too big to ignore.
"If you look at markets like India and Indonesia, more than 70 percent of the volume comes from the feature phone business," Anshul Gupta, principal research analyst at Gartner said. "It's still a significant part of the overall market."
That means that if Microsoft wants to herd this market up the value chain to its Windows phones, it needs to keep the Nokia and Asha brands afloat - while also narrowing the price gap between its smartphones and the feature phones and cheap smartphones.
Microsoft has hinted that lowering prices of smartphones would be a priority. The Windows Phone series includes the top-end Lumia 1020, which comes with a 41-megapixel camera, while it also sells simpler models such as the Lumia 610 and 620 aimed at first-time smartphone buyers.
"The lower price phone is a strategic initiative for the next Windows Phone release," Terry Myerson, vice president of operating systems said on the same conference call, while declining to provide details.
An option for Microsoft, analysts said, would be to shoe-horn services like Bing search, Outlook webmail and Skype, the Internet telephony and messaging application, into the lower-end phones as a way to drive traffic to those services and make the devices more appealing.
"So you can bundle services with these low-end products and that way you can reach a wider audience," said Finland-based Nordea Markets analyst Sami Sarkamies.
But in the meantime Microsoft needs to brace for assault on all fronts as emerging market rivals see an opportunity to eat further into Nokia's market share. In India, said Convergent Catalyst's Kolla, cheap local Android brands have been held back by Nokia's strong promotion of its mid-tier Asha brand.
"Now, I expect them to pounce," he said. ($1 = 0.7577 euros)
(Reporting By Jeremy Wagstaff in Singapore, Devidutta Tripathy in New Delhi, Bill Rigby in Seattle, Ritsuko Ando in Helsinki; Editing by Emily Kaiser)

Microsoft's Cannot Ignore Nokia Phones That Dominate In Emerging Markets

Whatsapp has recently announced that it will no longer support some devices as these do not have the capabilities that are needed to expand the app’s features. A list of all the devices which will no longer be compatible with the messaging app has been published on <a href="https://faq.whatsapp.com/en/android/26000006/">WhatsApp’s mobile device support page</a>. The page also states that though the mentioned operating systems will no longer be supported, some of them might lose services immediately, while in others some features might stop running at any time. This decision will surely have a direct and immediate impact on a significant portion of their users. Now, the minimum requirement to run WhatsApp will be the Android 4.0, iOS 8 and <keyword id="156399" type="COMPANY" weightage="20" keywordseo="Windows-phone">Windows Phone</keyword> 8.1. The operating systems listed below are the ones that are no longer supported: <ul><li>Android: </li></ul> - Android 2.1 (Eclair) - Android 2.2 (Froyo) - Android 2.3.7 (Gingerbread) won't be supported after 2 years <ul><li>Apple(iOS):</li></ul> - iOS 6 (<keyword id="131168" type="COMPANY" weightage="20" keywordseo="iPhone-3GS">iPhone 3GS</keyword> wont be able to run WhatsApp) <ul><li><keyword id="722821" type="PERSON" weightage="20" keywordseo="BlackBerry-OS">Blackberry OS</keyword></li><li><keyword id="6354716" type="COMPANY" weightage="20" keywordseo="Nokia">Nokia</keyword>:</li></ul> - Nokia S40 OS - <keyword id="1083942" type="PERSON" weightage="20" keywordseo="Nokia-Asha-series">Nokia Asha series</keyword> phones - Nokia <keyword id="185190" type="CITY" weightage="20" keywordseo="Symbian">Symbian</keyword> S60 <ul><li>Windows:</li></ul> - Windows Phone 7.0 - Windows Phone 8.0

Whatsapp to stop working on some devices soon. Is yours on the list?

<table class="image-container float_right" width="200"><tr><td><div class="image"></div>Ellis Hamburger, Business InsiderNokia CEO Stephen Elop</td></tr></table><keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword>'s stock is soaring in pre-market trading, rising 23% after announcing preliminary earnings results.
The preliminary results are ahead of Nokia's previous earnings guidance.
The headlines from the release are that Lumia sales are better than expected and operating expenses are lower than expected.
It sold 4.4 million Lumia phones. Lumia phones run Microsoft's Windows Phone 8 software. They are supposed to be the savior of Nokia. This number may be better than expected, but it's going to be ~10% of how many iPhones Apple sells this quarter. And less than 10% of how many smartphones Samsung sells. So Nokia still has a lot of work ahead of it.
Here's the release:
Nokia today provided preliminary information on certain aspects of its fourth quarter 2012 financial performance and also provided preliminary information on its outlook for the first quarter 2013.
Nokia now estimates that Devices &amp; Services has exceeded expectations and achieved underlying profitability in the fourth quarter 2012.
- Mobile Phones business unit and Lumia portfolio delivered better than expected results; and
- Operating expenses were lower than expected.
- Devices &amp; Services non-IFRS operating margin for the fourth quarter 2012 now expected to be between break even and positive 2 percent.
Seasonality and competitive environment are expected to have a negative impact on the first quarter 2013 underlying profitability for Devices &amp; Services, compared to the fourth quarter 2012.
Nokia also estimates that Nokia Siemens Networks has exceeded expectations for the fourth quarter 2012, delivering record underlying profits and a third consecutive quarter of underlying profitability.
- Strong performance in higher margin product categories and geographic regions; and
- Better than expected cost management.
- Nokia Siemens Networks non-IFRS operating margin for the fourth quarter 2012 now expected to be between 13 and 15 percent.
Seasonality is expected to have a negative impact on the first quarter 2013 underlying profitability for Nokia Siemens Networks, compared to the fourth quarter 2012.
Commenting on the preliminary Q4 financial information, Stephen Elop, Nokia CEO, said:
"We are pleased that Q4 2012 was a solid quarter where we exceeded expectations and delivered underlying profitability in Devices &amp; Services and record underlying profitability in Nokia Siemens Networks. We focused on our priorities and as a result we sold a total of 14 million Asha smartphones and Lumia smartphones while managing our costs efficiently, and Nokia Siemens Networks delivered yet another very good quarter."
Preliminary financial information for the fourth quarter 2012:
Nokia currently estimates that Devices &amp; Services net sales in the fourth quarter 2012 were approximately EUR 3.9 billion, with total device volumes of 86.3 million units.
- Mobile Phones net sales of approximately EUR 2.5 billion, with total volumes of 79.6 million units of which 9.3 million units were Asha full touch smartphones.
- Smart Devices net sales of approximately EUR 1.2 billion, with total volumes of 6.6 million units of which 4.4 million units were Nokia Lumia smartphones.
- Total smartphone volumes of 15.9 million units composed of 9.3 million Asha full touch smartphones, 4.4 million Lumia smartphones and 2.2 million Symbian smartphones.
- Devices &amp; Services Other net sales of approximately EUR 0.2 billion, including a positive impact from non-recurring IPR income of approximately EUR 50 million.
Nokia currently estimates that Devices &amp; Services non-IFRS operating margin for the fourth quarter 2012 was between break even and positive 2 percent, which compares to the previous outlook of approximately negative 6 percent, plus or minus four percentage points. Devices &amp; Services non-IFRS operating margin includes a positive impact from non-recurring IPR income of approximately EUR 50 million.
During the fourth quarter 2012, multiple factors positively affected Nokia's Devices &amp; Services businesses to a greater extent than previously expected. Preliminary information indicates that the main factors include:
- Within the Devices &amp; Services business, better than expected financial performance in the Mobile Phones business unit and Lumia smartphones. In addition, Devices &amp; Services recognized non-recurring IPR income of approximately EUR 50 million; and
- Lower than expected Devices &amp; Services' operating expenses, partially due to greater than expected cost reductions under the restructuring program.
Nokia currently estimates that Location &amp; Commerce net sales in the fourth quarter 2012 were approximately EUR 0.3 billion and the non-IFRS operating margin was between 13 and 15 percent.
Nokia and Nokia Siemens Networks currently estimates that Nokia Siemens Networks net sales in the fourth quarter 2012 were approximately EUR 4.0 billion and the non-IFRS operating margin was between 13 and 15 percent, which compares to the previous outlook of approximately positive 8 percent, plus or minus four percentage points. Nokia Siemens Networks non-IFRS operating margin includes a positive impact from non-recurring IPR income of approximately EUR 30 million.
During the fourth quarter 2012, multiple factors positively affected Nokia Siemens Networks' businesses to a greater extent than previously expected. Preliminary information indicates that the main factors include:
- More favorable product and regional mix in Nokia Siemens Networks. In addition, Nokia Siemens Networks recognized non-recurring IPR income of approximately EUR 30 million; and
- Better than expected improvement under Nokia Siemens Networks' restructuring program to reduce operating expenses and production overheads.
Preliminary outlook for the first quarter 2013:
Nokia expects its non-IFRS Devices &amp; Services operating margin in the first quarter 2013 to be approximately negative 2 percent, plus or minus four percentage points. This outlook is based on Nokia's expectations regarding a number of factors, including:
- competitive industry dynamics continuing to negatively affect the Smart Devices and Mobile Phones business units;
- the first quarter being a seasonally weak quarter;
- consumer demand, particularly for our Lumia and Asha smartphones;
- continued ramp up for our new Lumia smartphones;
- expected cost reductions under Devices &amp; Services' restructuring program; and
- the macroeconomic environment.
Nokia expects Location &amp; Commerce non-IFRS operating margin in the first quarter 2013 to be negative due to lower recognized revenue from internal sales, which carry higher gross margin, and to a lesser extent by a negative mix shift within external sales.
Nokia and Nokia Siemens Networks expect Nokia Siemens Networks non-IFRS operating margin in the first quarter 2013 to be approximately positive 3 percent, plus or minus four percentage points. This outlook is based on Nokia Siemens Networks' expectations regarding a number of factors, including:
- competitive industry dynamics;
- the first quarter being a seasonally weak quarter;
- product and regional mix;
- expected continued improvement under Nokia Siemens Networks' restructuring program; and
- the macroeconomic environment.
Nokia will provide more details when it reports fourth quarter and full year 2012 results on January 24, 2013.

Nokia Pre-Announces Earnings And The Stock Is Going Nuts

<div style="padding: 15px; border: 1px solid #999999; margin-bottom: 10px; font-size: 15px!important; line-height: 25px; overflow: auto; vertical-align: middle;"> Business Insider's coverage of the Mobile World Congress in Barcelona is sponsored by Intel.</div><div class="KonaFilter image-container float_right"><div class="image">Business Insider</div></div>It's only the first official day of Mobile World Congress, the big mobile industry conference in Barcelona, but there's already a clear theme: Phone makers are doing ultra-cheap smartphones. 
The high-end of the smartphone market is controlled by Apple and Samsung. Therefore, handset makers are giving up on trying to compete in the premium market. 
That leaves the low-end in places like India, Latin America, and Africa. And when we say low-end, we mean low-end.
Firefox, for instance, was talking about delivering a $25 smartphone. Someone here at MWC snapped <a href="https://twitter.com/Nemo_incognito/status/437895601976381440">a photo of a $35 dollar smartphone</a> from a Chinese manufacturer. 
Yesterday, during Microsoft's press event, it said it was making it easier for handset makers to sell cheaper phones.
Then, this morning, Nokia revealed an Android-Based phone that goes for $129. Nokia also introduced a new "Asha" phone that sells for $67. Asha is Nokia's super low-end smartphone platform.
Nokia had nothing to introduce at the high end of the market, it was all low-end stuff today.
We visited the Firefox booth to find out more about its $25 phone. Right now, it's mostly theoretical. It has a reference design that it wants carriers and phone makers to use. It's unclear if any of them really will make a $25 phone. 
When asked why they should make a cheap smartphone, Firefox said it wanted to get smartphones in the hands of people that don't yet have phones.
That seems to be what this MWC is all about: How do we get smartphones in the hands of the people that haven't been able to afford them so far?

No One Can Beat Apple And Samsung, So Phone Makers Are Making Super Cheap Smartphones

<div class="image-container float_right click-to-enlarge"><div class="image"><a title_source="Wikimedia Commons user Towel401" title_caption="An old Nokia phone." class="zoomin" href="http://static4.businessinsider.com/image/505b61216bb3f76729000001-960/nokia-6650-1.jpg"></a><a href="http://upload.wikimedia.org/wikipedia/commons/thumb/f/ff/Nokia6650_unlocked.jpg/781px-Nokia6650_unlocked.jpg">Wikimedia Commons user Towel401</a>An old <keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword> phone.</div></div><keyword id="10387" type="CITY" weightage="60" keywordseo="Microsoft">Microsoft</keyword>'s $7.2 billion acquisition of Nokia's mobile phone business will probably kill Nokia as a mobile brand forever, according to the company's statements so far.
Microsoft has the option of keeping Nokia as a handset brand, but now that it owns that business, don't expect to see the word "Nokia" on its phones. The news of the death of "Nokia" will come as a shock to those of us who remember fondly our first, candy-bar shaped mobile phones.
The details of the fate of Nokia are complicated. Here's <a href="http://www.microsoft.com/en-us/news/press/2013/Sep13/09-02AnnouncementPR.aspx">what Microsoft said in its release</a>:
Microsoft is also acquiring Nokia's Mobile Phones business unit, which serves hundreds of millions of customers worldwide, and had sales of 53.7 million units in the second quarter of 2013. Microsoft will acquire the Asha brand and will license the Nokia brand for use with current Nokia mobile phone products. Nokia will continue to own and manage the Nokia brand. This element provides Microsoft with the opportunity to extend its service offerings to a far wider group around the world while allowing Nokia's mobile phones to serve as an on-ramp to Windows Phone.
While that looks as if the Nokia brand will survive, in fact it will not. It appears to mean that the brand "Nokia" will stay at the vestigial parts of the Nokia company that Microsoft isn't acquiring.
This slide from Microsoft's investor presentation gives the company's basic intent:
<div class="image-container click-to-enlarge"><div class="image"><a title_source="Microsoft" title_caption="" class="zoomin" href="http://static4.businessinsider.com/image/5225ea71eab8eae776a49b1f-960/screen%20shot%202013-09-03%20at%209.36.57%20am.png"></a>Microsoft</div></div>
R.I.P., Nokia.

It Looks Like Microsoft Will Kill The Nokia Phone Brand

Barely 10 days ago, the first <keyword id="6355645" type="COMPANY" weightage="40" keywordseo="android">Android</keyword> smart phone from <keyword id="6354716" type="CITY" weightage="80" keywordseo="Nokia">Nokia</keyword> was showcased at the <keyword id="111480" type="ORGANIZATION" weightage="40" keywordseo="mobile-world-congress">Mobile World Congress</keyword> in Barecelona. And <keyword id="107835" type="CITY" weightage="40" keywordseo="Nokia-India">Nokia India</keyword> has already planned to bring its first Android based phone to India. The <keyword id="459" type="ORGANIZATION" weightage="100" keywordseo="price">price</keyword> is believed to be kept at Rs 8,499, this is not as inexpensive as the Asha series but does fall under the budget category of Android phones. 
 The <keyword id="2034783" type="UNKNOWN" weightage="100" keywordseo="Nokia-X">Nokia X</keyword> has dual-SIM capabilities and has a 4-inch <keyword id="30450" type="ENTERTAINMENT" weightage="40" keywordseo="Touch">touch</keyword> display. It runs on the 1 GHz Dual-core <keyword id="104695" type="CITY" weightage="40" keywordseo="Qualcomm">Qualcomm</keyword> Snapdragon processor that is supported by 512 MB of RAM and 4 GB internal storage. The phone’s design is inspired by the Lumia series (which are known for using Windows Phone OS) and will be available in an array of colours. The company claims that the phone will give the user talk time of 13.3 hours and can stay awake for 28 days in standby mode. 
 Nokia has introduced a ripped down version of Android on this phone that will not have any <keyword id="6355629" type="CITY" weightage="40" keywordseo="Google">Google</keyword> services on it. Even the app store is different. At MWC 2014, Nokia showcased two more phones (Nokia X+ and Nokia XL) along with Nokia X. There is no news of the other two being launched at the same time. However, we might just see a glimpse of the next two in the ‘X series’ of phones by Nokia at the event on 10 March.

Nokia X Coming To India On 10 March With A Price Tag Of Rs
8,499

<div class="KonaFilter image-container display-table float_right click-to-enlarge"><div><div class="image"><a title_source="Business Insider" title_caption="Stephen Elop introducing the Nokia X in February." class="zoomin" href="https://static-ssl.businessinsider.com/image/535e6863eab8ea712ad4a340-960/elop-nokia-3.jpg"></a>Business InsiderStephen Elop introducing the Nokia X in February.</div></div></div>Even though Nokia is now officially part of Microsoft, the company will continue to sell the family of Nokia's Android devices.
Stephen Elop, the former Nokia CEO and new executive vice president of Microsoft's Devices Group, said in an <a href="http://conversations.nokia.com/2014/04/28/conversations-live-ask-anything-stephen-elop/">online Q&amp;A session</a> today that Microsoft bought all of Nokia's handset businesses in its $7.2 deal, which includes the Nokia X.
Microsoft officially closed its acquisition of Nokia last Friday. Nokia is the biggest maker of Windows Phones, but it also makes feature phones and smartphones running other platforms like its own Asha operating system.
Nokia announced the Nokia X Android phones at the Mobile World Congress tech conference in February. The move caused a lot of head scratching since Nokia was very close to becoming part of Microsoft at the time. And Microsoft is all-in on Windows Phone. The Nokia X phones are very cheap and are sold in emerging markets where most people aren't using smartphones yet. 
Still, Elop pointed out that the Nokia X phones aren't your typical Android phones. They don't come with Google services like Google Maps, Gmail, and the Google Play app store. Instead, Nokia heavily modified the Android software to be powered by Microsoft services like Bing, Skype, OneDrive, and Outlook. Microsoft sees the Nokia X as a gateway to introduce Microsoft services to people who can't afford more expensive phones.
Microsoft acquired the mobile phones business, inclusive of Nokia X, to help connect the next billion people to Microsoft's services. Nokia X uses the MSFT cloud, not Google's. This is a great opportunity to connect new customers to Skype, outlook.com and OneDrive for the first time. We've already seen tens of thousands of new subscribers on MSFT services.
The Nokia X phones are already on sale in some countries and will continue to be sold under that brand.

Microsoft Is Still Going To Sell Nokia's Android Phones

Lot of <keyword id="3658" type="COUNTRY" weightage="80" keywordseo="India">India</keyword>ns are using the <keyword id="28120" type="CITY" weightage="80" keywordseo="Linkedin">LinkedIn</keyword> platform to socialise, post and search jobs, brand awareness and more. Recently we had a chat with Nishant Rao, Country Manager, LinkedIn India and asked him about any new features added to the platform that benefit Indian users? He said, our products are developed after monitoring and understanding member usage patterns on the site. Hence, a majority of our products and features are available to members across the world. New offerings like accessing business and professional insights from LinkedIn Influencers, and endorsements that help identify trends of an individual’s strength areas have had a lot of traction here because they gel with the fundamental aspirational nature of us as Indian professionals. 
 At the same time, India being a strategically important market for us, we constantly strive to balance the benefits of global <keyword id="382268" type="UNKNOWN" weightage="40" keywordseo="leverage">leverage</keyword> and scale with what we believe is necessary to suit local market conditions. 
 India is the only country where we have localised SKUs for some of our Talent Solutions products. The recent <keyword id="816046" type="UNKNOWN" weightage="40" keywordseo="Nokia-Asha">Nokia Asha</keyword> partnership is another example of being open to doing something different for Asian countries that use a different mix of mobile platforms than our developed markets. Finally, we are increasingly seeing Indian institutions being included in our test pilots (for example, IIM-Ahmedabad with University Pages, <keyword id="369645" type="COMPANY" weightage="40" keywordseo="Cap-Gemini">Cap Gemini</keyword> India with CheckIn) to ensure we get a deeper understanding of how things work in developing versus developed markets.

LinkedIn: India Is A Strategically Important Market For Us

<div style="padding: 15px; border: 1px solid #999999; margin-bottom: 10px; font-size: 15px!important; line-height: 25px; overflow: auto; vertical-align: middle;"> Business Insider's coverage of the Mobile World Congress in Barcelona is sponsored by Intel.</div><div class="KonaFilter image-container display-table float_right"><div><div class="image">Business InsiderNokia CEO Stephen Elop</div></div></div>Nokia just <a href="http://www.businessinsider.com/nokia-android-phone-nokia-x-2014-2">revealed its first Android-based phone, the NokiaX</a>.
Since Microsoft is about to buy Nokia for $7 billion, a lot of people will see this as bad news for Microsoft.
After all, if Windows Phone was doing well, then why would Nokia need Android?
And there's no question that if Windows Phone was a smash hit, this wouldn't be happening.
But, Nokia CEO Stephen Elop stressed that an Android-based phone is good for Microsoft.
He makes a fairly convincing case. 
In short, Elop says a cheap Android-based phone will get a lot of people using Nokia and Microsoft services. 
On stage in Barcelona at MWC, a mobile industry conference, Elop called the new NokiaX phones "feeder" phones that will be a "gateway to Microsoft." He also said the phone "takes people to Microsoft's cloud, not Google's cloud."
Here's how Nokia's line works: At the high-end it has Lumia phones. In the mid-to-low end, it has X phones. At the very low end it has Asha phones.
The X phones will sell for 89-109 Euros, or, $122-$149. Elop says the X phones are targeting "high growth" markets, which is a popular euphemism at MWC for developing countries like China, India, and so on. 
The X phones run on a forked version of Android. This allows the phone to use Android apps, but it looks nothing like Android. Importantly, Elop says it doesn't have any Google services.
The X phones use Nokia maps, and Microsoft's cloud services. 
The idea is for people to buy the cheaper X phones, fall in love with the Nokia experience, then eventually upgrade to the full Windows Phone experience on Lumia phones. 
Since the phones will use Microsoft's OneDrive, and other Microsoft services, Elop says this phone will introduce the "next billion people to Microsoft."
It's not that bad of an idea! Microsoft needs to try something new in mobile, and this plan from Nokia might be the trick. 
The only catch, of course, is that if people like the X line, and all the Android apps, they'll be disappointed when the jump to Windows-based Lumia phones that don't have Android apps.
But, that's a problem for another day! For now, Nokia is taking a chance on a low-cost Android phone. And it should. Microsoft needs to try something different in mobile.

NOKIA: Our Android Phone Is GOOD For Microsoft

<keyword id="6354485" type="CITY" weightage="60" keywordseo="mobile">Mobile</keyword> Insights is a daily newsletter from <a href="https://intelligence.businessinsider.com/welcome?utm_source=House&amp;utm_medium=Edit&amp;utm_term=MI&amp;utm_content=link&amp;utm_campaign=BIIMobile">BI Intelligence</a> delivered first thing every morning exclusively to <a href="https://intelligence.businessinsider.com/welcome?utm_source=House&amp;utm_medium=Edit&amp;utm_term=MI&amp;utm_content=link&amp;utm_campaign=BIIMobile">BI Intelligence</a> subscribers. <a href="https://intelligence.businessinsider.com/welcome?utm_source=House&amp;utm_medium=Edit&amp;utm_term=MI&amp;utm_content=link&amp;utm_campaign=BIIMobile">Sign up for a free trial of BI Intelligence today</a>. 

<div class="image-container float_right click-to-enlarge" style="width:400px"><div class="image"><a title_source="Screenshot" title_caption="" class="zoomin" href="http://static4.businessinsider.com/image/504a0c6b69beddaf1500000a-960/kindlefirehd.jpg"><a href="http://online.wsj.com/article/SB10001424127887324744104578473081373377170.html?mod=googlenews_wsj" target="_blank" title="WSJ:Amazon Developing Smartphone With 3-D Screen"></a></a></div>Screenshot</div><keyword id="18635" type="CITY" weightage="60" keywordseo="Amazon">Amazon</keyword> Developing Smartphone With A 3-D Screen (Wall Street Journal) Amazon is reportedly now developing two <keyword id="6354775" type="TECHNOLOGY" weightage="60" keywordseo="Smartphones">smartphones</keyword> and an audio-only streaming device as part of a broader push into hardware. One smartphone will reportedly be a high-end device featuring a 3D screen and retina-tracking technology. That sounds like a move well outside of Amazon's comfort zone. Amazon has been known to be <a href="https://intelligence.businessinsider.com/amazon-takes-another-step-towards-a-phone-2012-7" target="_blank" title="Amazon Takes Another Step Towards A Phone">assembling the component pieces</a> to a smartphone for a while. A smartphone <a href="http://www.wired.com/gadgetlab/2012/07/amazon-developing-smartphone-to-sell-you-wares-everywhere-says-report/">fits in well</a> with Amazon's overall strategy, given the <a href="https://intelligence.businessinsider.com/mobile-grows-share-of-e-commerce-sales-2013-3" target="_blank" title="U.S. mobile commerce ">explosion of mobile commerce</a> and <a href="https://intelligence.businessinsider.com/amazon-appstore-competes-with-google-2013-4" target="_blank" title="Amazon Appstore Has Surprisingly High U.S. Revenues Relative To Google Play">Amazon's track record</a> with the Kindle app ecosystem, in which developers have made real money. However, analysts did not expect a high-end device with bells and whistles. Instead, they expected a decent smartphone at a difficult-to-resist price point, which Amazon could use to extend its reach in its real areas of strength: e-commerce and content distribution. <a href="http://online.wsj.com/article/SB10001424127887324744104578473081373377170.html?mod=googlenews_wsj">Read &gt;</a> 
<a href="http://www.canalys.com/newsroom/smart-mobile-device-shipments-exceed-300-million-q1-2013">Tablet Shipments Continue To Grow Faster Than Notebooks, Smartphones</a> (Canalys) Canalys estimates that manufacturers shipped 309 million "smart mobile devices" in the first quarter of 2013. Tablets grew fastest in year-on-year terms, with shipments in the quarter reaching 41.9 million. That represents growth of 106% over shipments in the first quarter of last year. <a href="http://www.canalys.com/newsroom/smart-mobile-device-shipments-exceed-300-million-q1-2013">Read &gt;</a> 
<a href="http://thenextweb.com/facebook/2013/05/09/minor-facebook-home-update-incoming-today-as-it-hits-1m-downloads-in-its-first-4-weeks/" target="_blank" title="Next Web: Minor Facebook Home update incoming today, as it hits 1M downloads in its first 4 weeks">Facebook Home Hits 1 Million Downloads </a>(The Next Web) Four weeks after its release, <a href="https://intelligence.businessinsider.com/the-logic-behind-facebook-home-2013-4" target="_blank" title="The Logic Behind Facebook Home">Facebook Home</a> has topped 1 million downloads. Note that downloads doesn't necessarily translate to active users. Home is only available on a few devices — <a href="http://www.businessinsider.com/htcs-facebook-phone-is-clearly-a-flop-2013-5" target="_blank" title="Business Insider: HTC's Facebook Phone Is Clearly A Flop">including the HTC First dropped to $0.99 this week</a> — but it doesn't look like it's going to radically change the mobile landscape just yet. <a href="http://thenextweb.com/facebook/2013/05/09/minor-facebook-home-update-incoming-today-as-it-hits-1m-downloads-in-its-first-4-weeks/">Read &gt;</a> 
<a href="http://www.digiday.com/publishers/ads-stifle-responsive-design-adoption/">Ads Stifle Responsive Design Adoption</a> (Digiday) Responsive design is one strategy that online developers and publishers can take so that their desktop Web presence translates effectively on mobile devices (without having to build two versions of the same website). But there's a problem. The problem is that banner ads make it hard to do responsive design right. <a href="http://www.digiday.com/publishers/ads-stifle-responsive-design-adoption/">Read &gt;</a> 
<a href="http://socialtimes.com/mobile-apps-privacy-bill-introduced-in-house_b126557">Mobile Apps Privacy Bill Introduced In U.S. Legislature</a> (SocialTimes) This is likely just one example of many pieces of legislation around the world as governments try to regulate the way mobile software and mobile Web properties collect user data. <a href="http://socialtimes.com/mobile-apps-privacy-bill-introduced-in-house_b126557">Read &gt;</a> 
<a href="http://blogs.wsj.com/digits/2013/05/09/pc-makers-hopeful-on-windows-8-changes/" target="_blank" title="WSJ:PC Makers Hopeful on Windows 8 Changes">PC Makers Hopeful On Windows 8 Changes</a> (Wall Street Journal) PC manufacturers believe that Microsoft is now more receptive to their input for Windows 8 after the dismal rollout. Acer, for example, believes there was too much focus on touch screens at the expense of traditional PC users. Plus, the Windows 8 app ecosystem still badly lags its iOS and Android counterparts. Additionally, the pricing on Windows 8 tablets makes no sense. It's trying to hold the impossible middle ground between the premium iPad and low-cost Android tablets. Microsoft will need to bring the price down if it is going to be competitive. <a href="http://blogs.wsj.com/digits/2013/05/09/pc-makers-hopeful-on-windows-8-changes/">Read &gt; </a>
<div class="image-container float_right click-to-enlarge" style="width:400px"><div class="image"><a title_source="BII" title_caption="Nokia's high-end Lumia line hasn't pierced the 6 million shipments mark" class="zoomin" href="http://static5.businessinsider.com/image/518bf6aa69bedd555d000008-960/nokia%20lumia%20shipments.png"><a href="http://www.theverge.com/2013/5/9/4314844/nokia-asha-501-new-platform-launch" target="_blank" title="The Verge: Nokia hedges its commitment to Windows Phone with new Asha platform and $99 phone"></a></a></div>BII<keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword>'s high-end Lumia line hasn't pierced the 6 million shipments mark</div>Nokia Hedges Its Commitment To Windows Phone With New Asha Platform (The Verge) Nokia ditched its proprietary Symbian platform for Windows Phone two years ago, but also simultaneously introduced the Asha platform to sell cheap feature phones in developing markets. It turned out to be a success and Nokia announced an upgrade to the software for better user experience and developer tools. The new Asha 501 released in India yesterday is a 2G smartphone with its own app store, all at the low price of $99. While Nokia once thought Asha would become obsolete as the price of Windows Phone devices fell, it looks like it may now anchor its push into low-cost smartphone markets. It also gives it some flexibility if its partnership with Microsoft <a href="https://intelligence.businessinsider.com/nokia-gets-record-windows-phones-sales-2013-4" target="_blank" title="Nokia Sells A Record Number Of Windows Phones">doesn't pick up</a>. However, the low-cost smartphone market <a href="https://intelligence.businessinsider.com/samsung-and-apple-own-smartphone-profits-2013-5" target="_blank" title="Samsung And Apple Grab 100% Of Smartphone Manufacturer Profits">requires enormous scale</a> to generate meaningful profits. <a href="http://www.theverge.com/2013/5/9/4314844/nokia-asha-501-new-platform-launch">Read &gt;</a> 
<a href="http://thenextweb.com/insider/2013/05/09/flipboard-amps-up-user-generated-magazines-with-android-release-and-new-web-based-editing-tool/" target="_blank" title="Next Web:Flipboard amps up user-generated magazines with Android release and new Web-based editing tool">Flipboard To Bring User-Generated Magazines To Android</a> (The Next Web) Following on the release of an iOS update in March, Android users can now generate their own feeds based around topics, events, or personal interest. Previously, all the content was compiled by Flipboard's editorial team. The social magazine app also announced a new partnership with the Financial Times. It has more than 50 million readers as of March. <a href="http://thenextweb.com/insider/2013/05/09/flipboard-amps-up-user-generated-magazines-with-android-release-and-new-web-based-editing-tool/">Read &gt;</a> 
<a href="http://www.bloomberg.com/news/2013-05-07/apple-seeks-android-source-code-records-in-samsung-suit.html" target="_blank" title="Bloomberg: Apple Seeks Android Source Code Records in Samsung Suit">Apple Seeks Android Source Code In Samsung Suit</a> (Bloomberg) Apple has asked a judge in its second Samsung patent infringement trial to force Google to turn over records relating to Android's source code. Apple believes Android "provides much of the ... functionality" it accuses Samsung of infringing upon. The smartphone patent trials are increasingly <a href="http://online.wsj.com/article_email/SB10001424127887323687604578467263432599452-lMyQjAxMTAzMDAwNzEwNDcyWj.html" target="_blank" title="WSJ: Samsung-Apple Patent Fight: Is It Worth It?">looking like Quixotic affairs</a>. The second Apple-Samsung trial covers technology in the iPhone 5 and Galaxy S3. By the time the trial concludes, not to mention the inevitable appeals, we will likely be on the Galaxy S5 or S6. <a href="http://www.bloomberg.com/news/2013-05-07/apple-seeks-android-source-code-records-in-samsung-suit.html">Read &gt; </a>
<a href="http://www.reuters.com/article/2013/05/09/us-huawei-ceo-idUSBRE9480CC20130509" target="_blank" title="Bloomberg: Huawei's CEO breaks silence, says company not connected to U.S. cyber threats">Huawei's CEO Denies Link To U.S. Cyber Threats</a> (Bloomberg) Fast-growing Chinese smartphone manufacturers like Huawei and ZTE have faced <a href="http://www.nytimes.com/2012/09/15/business/global/15iht-telecom15.html" target="_blank" title="NYTimes: Chinese Telecom Executives Deny Government Control at U.S. Hearing">pushback from the U.S. Congress</a> over perceived ties to the government and the associated cyberattack threat. Huawei's notoriously reclusive CEO, Ren Zhengfei, came out to publicly deny the allegations, but it will probably do little to dispel worries. <a href="http://www.reuters.com/article/2013/05/09/us-huawei-ceo-idUSBRE9480CC20130509">Read &gt;</a> Disclosure: Jeff Bezos is an investor in Business Insider through his personal investment company Bezos Expeditions.

Amazon Departing From Cheap Hardware Strategy With New Smartphone Plans 

The takeover by <keyword id="10387" type="CITY" weightage="60" keywordseo="Microsoft">Microsoft</keyword> of <keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword>'s handset division, along with a licence for its patents, leaves behind two divisions that apparently the Redmond-based software company doesn't want: Location &amp; Services (which provides the HERE maps service) and Nokia Siemens Networks (NSN), set up as a joint venture with Sweden's Ericsson but now fully owned by Nokia.
It was the <a href="http://www.theguardian.com/technology/2013/jul/01/nokia-buys-siemens-mobile-networks">takeover of NSN</a> at the end of June which finally cleared the way for the selloff of the handset division, because it meant that the remainder of Nokia would be in charge of its destiny.
But what is Microsoft getting - and what is left behind?
<h2>What remains at Nokia</h2>
The Location &amp; Services division, formed from the $8bn <a href="http://press.nokia.com/2007/10/01/nokia-to-acquire-navteq/">acquisition of Navteq in 2007</a>, generates little revenue compared to its NSN sibling.
But neither generates much profit: over the past four quarters, they have generated an operating profit of just €147m. Over the past two quarters, the Location &amp; Services division has lost far more than the NSN division has generated. Unless the NSN division can start generating more profit, or the Location &amp; Services division has struck a hard bargain with Microsoft over its maps licensing, the company will not be profitable.
<div class="image-container"><div class="image">The Guardian</div></div>
<h2>What's Microsoft getting?</h2>
Nokia's handset business, once the top of the heap, has slumped badly in the face of challenges from Samsung and Apple at the top end of the smartphone market, and Chinese "white box" makers at the low end making ultra-cheap smartphones which compete with Nokia's feature phones at the low end.
The direction of travel in handset revenue is unmistakable: it is generating less revenue now than at any point since 2002, and since it began selling Windows Phone devices in the fourth quarter of 2011 it hasn't reversed that trend. Microsoft is buying one of the world's smallest smartphone makers.
<div class="image-container"><div class="image">The Guardian</div></div>
The Asha "smart featurephone" sector - which had looked briefly like an interim saviour as feature phones become less important - has also failed to ignite interest. So now Microsoft has a race against time to prevent Android and Apple taking over the world. It won't be easy.

This article originally appeared on <a>guardian.co.uk</a>

Microsoft And Nokia's Problems Explained In Three Graphs 

<div class="image-container float_right"><div class="image">AP</div></div>Last night <keyword id="10387" type="CITY" weightage="60" keywordseo="Microsoft">Microsoft</keyword> bought the smartphone division of <keyword id="6354716" type="CITY" weightage="60" keywordseo="Nokia">Nokia</keyword> for ~$7 billion.
Nokia will present the deal to is shareholders in November, and both companies expect the transaction to close in the first quarter of 2014.
So, why did Microsoft do this deal?
Two analysts, Ben Thompson of Stratechary and Benedict Evans, assume that Microsoft had to buy Nokia because Nokia was going to stop making Windows Phones very soon.
<a href="http://stratechery.com/2013/the-deal-that-makes-no-sense/">Thompson writes:</a>
I have argued that Stephen Elop made a massive strategic error by choosing Windows Phone over Android; coming from Microsoft, he failed to appreciate that Nokia's differentiation lay not in software, but in everything else in the value chain. It would have been to Nokia's benefit to have everyone running Android, including themselves. Everyone would have the same OS, the same apps, may the best industrial design, distribution, and supply chain win.<a href="http://stratechery.com/2013/the-deal-that-makes-no-sense/"></a>
Elop threw it all away.
Today no one cares about Nokia's industrial design, distribution, or supply chain, because their devices lack an app ecosystem, the price of entry into smartphones. Perhaps even now, Nokia was considering going to Android, or maybe even going out of business.
And thus I believe we've arrived at the rationale for this deal.
I theorize that Nokia was either going to switch to Android or was on the verge of going bankrupt. (I suspect the latter: part of the deal <a href="http://uk.finance.yahoo.com/news/microsoft-buys-nokias-moble-phone-061442013.html">included €1.5 billion in financing</a> available to Nokia immediately, and the fact Microsoft had to take Asha but not the brand or maps suggests they were trying to keep the price as low as possible). And, had Nokia abandoned Windows Phone, then Windows Phone would be dead.
Windows Phone has already been largely abandoned by other OEMs; Samsung and HTC make warmed-over versions of 6-month old Android hardware, and that's really about it. Of course that will now stop, <a href="http://allthingsd.com/20130902/microsoft-says-will-keep-licensing-windows-phone-to-others-post-nokia-deal/">Microsoft's protestations to the contrary</a>, but regardless, without Nokia it would be over.
And so, I would argue that this deal is not unlike the Motorola one, where I believe Google had its hand forced by <a href="http://gigaom.com/2011/09/14/the-patent-fear-factor-in-the-motorola-google-deal/">Motorola's threat to sue</a> other Android OEM's for all they were worth.<a href="http://stratechery.com/2013/the-deal-that-makes-no-sense/#footnote_0_490" title="To be clear, that's the only similarity here" class="footnote-link footnote-identifier-link">1</a> Microsoft felt they didn't have a choice.
<a href="http://ben-evans.com/benedictevans/2013/9/3/microsoft-and-nokia">Evans says:</a>
"It's been very clear that for some time that Windows Phone was not working. It isn't failing, exactly - sales are drifting slowly upwards and it's ahead of Blackberry in some markets (as though that was an achievement), but it sold 20-25m units in the last 12 months where Android sold 430m or so (and perhaps another 150m in China) and the iPhone 143m. It's irrelevant in the scope of the industry, and for Microsoft that counts as failure. For Nokia, meanwhile, simple finance was an issue: Microsoft's announcement says that operating break-even is 50m units, a long way off at current growth rates. So, something had to change…
…the acquisition solves Nokia's problem (running out of cash) and hence is a tactical move by Microsoft: it prevents the only significant Windows Phone OEM from exiting the market. It is possible that Nokia threatened to switch to Android otherwise (the relevant contracts are getting close to renewal), rather as Motorola threatened to sue other Android OEMs before Google bought it."

Analysts: Microsoft Bought Nokia Because Nokia Was Going To Stop Making Windows Phones

<div class="image-container float_right"><div class="image"><keyword id="10387" type="CITY" weightage="60" keywordseo="Microsoft">Microsoft</keyword> CEO Steve Ballmer and Nokia CEO Stephen Elop.</div></div>Microsoft announced tonight that it will buy Nokia's devices and services division.
This is the part of Nokia that makes smartphones (and soon) tablets.
Microsoft will pay 3.70 billion Euro for Nokia's devices business. That's nearly $5 billion is U.S. dollars.
Developing...
Here's the press release:
Microsoft Corporation and Nokia Corporation today announced that the Boards of Directors for both companies have decided to enter into a transaction whereby Microsoft will purchase substantially all of Nokia's Devices &amp; Services business, license Nokia's patents, and license and use Nokia's mapping services.
Under the terms of the agreement, Microsoft will pay EUR 3.79 billion to purchase substantially all of Nokia's Devices &amp; Services business, and EUR 1.65 billion to license Nokia's patents, for a total transaction price of EUR 5.44 billion in cash. Microsoft will draw upon its overseas cash resources to fund the transaction. The transaction is expected to close in the first quarter of 2014, subject to approval by Nokia's shareholders, regulatory approvals and other closing conditions.
Building on the partnership with Nokia announced in February 2011 and the increasing success of Nokia's Lumia smartphones, Microsoft aims to accelerate the growth of its share and profit in <keyword id="6354485" type="CITY" weightage="60" keywordseo="mobile">mobile</keyword> devices through faster innovation, increased synergies, and unified branding and marketing. For Nokia, this transaction is expected to be significantly accretive to earnings, strengthen its financial position, and provide a solid basis for future investment in its continuing businesses.
"It's a bold step into the future - a win-win for employees, shareholders and consumers of both companies. Bringing these great teams together will accelerate Microsoft's share and profits in phones, and strengthen the overall opportunities for both Microsoft and our partners across our entire family of devices and services," said Steve Ballmer, Microsoft chief executive officer. "In addition to their innovation and strength in phones at all price points, Nokia brings proven capability and talent in critical areas such as hardware design and engineering, supply chain and manufacturing management, and hardware sales, marketing and distribution." 
"We are excited and honored to be bringing Nokia's incredible people, technologies and assets into our Microsoft family. Given our long partnership with Nokia and the many key Nokia leaders that are joining Microsoft, we anticipate a smooth transition and great execution," Ballmer said. "With ongoing share growth and the synergies across marketing, branding and advertising, we expect this acquisition to be accretive to our adjusted earnings per share starting in FY15, and we see significant long-term revenue and profit opportunities for our shareholders." 
"For Nokia, this is an important moment of reinvention and from a position of financial strength, we can build our next chapter," said Risto Siilasmaa, Chairman of the Nokia Board of Directors and, following today's announcement, Nokia Interim CEO. "After a thorough assessment of how to maximize shareholder value, including consideration of a variety of alternatives, we believe this transaction is the best path forward for Nokia and its shareholders. Additionally, the deal offers future opportunities for many Nokia employees as part of a company with the strategy, financial resources and determination to succeed in the mobile space."
"Building on our successful partnership, we can now bring together the best of Microsoft's software engineering with the best of Nokia's product engineering, award-winning design, and global sales, marketing and manufacturing," said Stephen Elop, who following today's announcement is stepping aside as Nokia President and CEO to become Nokia Executive Vice President of Devices &amp; Services. "With this combination of talented people, we have the opportunity to accelerate the current momentum and cutting-edge innovation of both our smart devices and mobile phone products."
Nokia has outlined its expected focus upon the closing of the transaction in a separate press release published today.
TERMS OF THE AGREEMENT
Under the terms of the agreement, Microsoft will acquire substantially all of Nokia's Devices and Services business, including the Mobile Phones and Smart Devices business units as well as an industry-leading design team, operations including all Nokia Devices &amp; Services-related production facilities, Devices &amp; Services-related sales and marketing activities, and related support functions. At closing, approximately 32,000 people are expected to transfer to Microsoft, including 4,700 people in Finland and 18,300 employees directly involved in manufacturing, assembly and packaging of products worldwide. The operations that are planned to be transferred to Microsoft generated an estimated EUR 14.9 billion, or almost 50 percent of Nokia's net sales for the full year 2012.
Microsoft is acquiring Nokia's Smart Devices business unit, including the Lumia brand and products. Lumia handsets have won numerous awards and have grown in sales in each of the last three quarters, with sales reaching 7.4 million units in the second quarter of 2013.
As part of the transaction, Nokia is assigning to Microsoft its long-term patent licensing agreement with Qualcomm, as well as other licensing agreements.
Microsoft is also acquiring Nokia's Mobile Phones business unit, which serves hundreds of millions of customers worldwide, and had sales of 53.7 million units in the second quarter of 2013. Microsoft will acquire the Asha brand and will license the Nokia brand for use with current Nokia mobile phone products. Nokia will continue to own and manage the Nokia brand. This element provides Microsoft with the opportunity to extend its service offerings to a far wider group around the world while allowing Nokia's mobile phones to serve as an on-ramp to Windows Phone. 
Nokia will retain its patent portfolio and will grant Microsoft a 10-year license to its patents at the time of the closing. Microsoft will grant Nokia reciprocal rights to use Microsoft patents in its HERE services. In addition, Nokia will grant Microsoft an option to extend this mutual patent agreement in perpetuity.
In addition, Microsoft will become a strategic licensee of the HERE platform, and will separately pay Nokia for a four-year license.
Microsoft will also immediately make available to Nokia EUR 1.5 billion of financing in the form of three EUR 500 million tranches of convertible notes that Microsoft would fund from overseas resources. If Nokia decides to draw down on this financing option, Nokia would pay back these notes to Microsoft from the proceeds of the deal upon closing. The financing is not conditional on the transaction closing. 
Microsoft also announced that it has selected Finland as the home for a new data center that will serve Microsoft consumers in Europe. The company said it would invest more than a quarter-billion dollars in capital and operation of the new data center over the next few years, with the potential for further expansion over time.
NOKIA LEADERSHIP CHANGES
Nokia expects that Stephen Elop, Jo Harlow, Juha Putkiranta, Timo Toikkanen, and Chris Weber would transfer to Microsoft at the anticipated closing of the transaction. Nokia has outlined these changes in more detail in a separate release issued today.
EXTRAORDINARY SHAREHOLDERS MEETING
Nokia plans to hold an Extraordinary General Meeting on November 19, 2013. The notice of the meeting and more information on the transaction and its background are planned to be published later this month.

Microsoft Buys Nokia's Devices Business

Now that we are only a few days away from Diwali, the shopping frenzy has hit people really hard. In case you haven’t done your gadget shopping yet and don’t have the time to go through hundreds of deals popping up every minute, here’s a quick look at some interesting offers straight from the Big Brands (or their authorised retailers). Sales have been a bit tepid after the RBI scrapped the popular ‘0% <keyword id="6357050" type="COMPANY" weightage="100" keywordseo="EMI">EMI</keyword> scheme’ for consumer electronics buying and one can only use the <keyword id="6357149" type="CITY" weightage="80" keywordseo="HDFC-bank">HDFC Bank</keyword> credit card for 3-12 months’ easy payment option. While the bank charges the usual interest on credit card spending, some sellers also charge a flat processing fee – adding up to the cost. But even then, mobile and electronics rank high one on one’s shopping list, occupying the 2nd slot after clothes and accessories – according to a recent survey by Cashkaro.com, India’s leading cash-back and coupons site. So start your 5-minute browsing now to find out what suits your fancy and wallet this Diwali. 
 
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 Under the <keyword id="1919910" type="UNKNOWN" weightage="100" keywordseo="Smart-Buy">Smart Buy</keyword> offer, one can get a 10% cash-back on the latest flagships – Galaxy S4 and Galaxy Note 2. The offer will be valid till November 5 and one has to use a <keyword id="6356454" type="CITY" weightage="80" keywordseo="standard-chartered">Standard Chartered</keyword> debit/credit card for the purchase. If you meet the criteria, this will bring down the price of Galaxy S4 from 41,500 to Rs 37350 while the Galaxy Note 2 <keyword id="999344" type="UNKNOWN" weightage="100" keywordseo="phablet">phablet</keyword> will cost you Rs 28,935, instead of Rs 32,150. In addition, the Korean giant is offering free accessories such as Maxx PBS-26-SDI smart charger and Plantronics ML2 Bluetooth headset. 
 
 
 
Smart upgrade from <keyword id="6354716" type="CITY" weightage="100" keywordseo="Nokia">Nokia</keyword> If you are still banking on M/s Reliable, check out these buyback offers from the Finnish handset maker. This Diwali, you can own a <keyword id="815197" type="UNKNOWN" weightage="100" keywordseo="Nokia-Lumia">Nokia Lumia</keyword> for less as you exchange your cell phone with any of these four handsets – Nokia Lumia 520, 620, 625 and 925. Just take your old phone to the nearest mobile store and get it assessed for the exchange value (you will find more information here (<a href="http://www.nokia.com/in-en/buyback/">http://www.nokia.com/in-en/buyback/</a>) regarding applicable devices). There’s an EMI provision as well, post the exchange discount ranging from Rs 4,000-10,000. Plus buyers get attractive deals in terms of movies, music and data usage. Good bargain, overall, for anyone looking to go the <keyword id="28168" type="TECHNOLOGY" weightage="100" keywordseo="Smartphone">smartphone</keyword> way on a budget. There’s also a free <keyword id="35450" type="COMPANY" weightage="80" keywordseo="insurance">insurance</keyword> scheme going with its Asha 501 model, valid till November 15. 
Image: Nokiarevolution.com 
 
 
 
Affordable <keyword id="6355629" type="CITY" weightage="100" keywordseo="Google">Google</keyword> gadgets If you love a superb <keyword id="6355645" type="COMPANY" weightage="80" keywordseo="android">Android</keyword> tablet at dirt cheap price, go for the <keyword id="1118355" type="UNKNOWN" weightage="80" keywordseo="Nexus-7">Nexus 7</keyword> with Wi-Fi (32 GB). Right now, you can get 31% discount on this model and Flipkart it for just Rs12,999. The high res screen, sleek look and good battery life, along with latest Android updates, make it a great purchase for budget shoppers. The 16 GB (Wi-Fi) variant comes with a whopping 37% <keyword id="1919911" type="UNKNOWN" weightage="100" keywordseo="price-slash">price slash</keyword> and costs only Rs 9,999, while Nexus 7C ((Wi-Fi, 3G, 32 GB) is priced at Rs 15,999 (27% discount). In case you are looking for the 2nd Generation Nexus, to be launched here in November, it’s already up online. eBay India is currently selling the 16 GB Wi-Fi model for Rs 22,490. 
 Those looking for a device between a tab and a netbook, can get their hands on Google’s lightweight laptops at Flipkart – the Acer C720 Chromebook for Rs 22,999 (11% off the original price) and the <keyword id="6367983" type="CITY" weightage="80" keywordseo="HP">HP</keyword> Chromebook 14 at Rs 26,990. You also get combo offers and additional discounts. One can also buy these at select Croma stores in Delhi and Mumbai. The HP system features a 14 inch screen and 32 GB storage, while the Acer one has 11.6 inch screen and 16 GB storage. The HP device also has more USB ports and a card reader. 
Image: droid-life.com 
 
 
 
Bond with Sony for more products per product Here, discounts vary from <keyword id="6356318" type="POSITION" weightage="100" keywordseo="Dealer">dealer</keyword> to dealer, but you get loads of freebies from the company when you buy a Sony product. In fact, you are pampered for choice when you take your pick from its wide range of Bravia televisions, <keyword id="49069" type="ORGANIZATION" weightage="100" keywordseo="Vaio">Vaio</keyword> laptops or the Xperia series of smartphones/phablets/tablets. For instance, you can buy a Bravia and get freebies like 3D Blu-ray players and Blu-ray movies, PS3, headphones and 8 GB USB drives for free. Then there are special <keyword id="25455" type="ORGANIZATION" weightage="100" keywordseo="finance">finance</keyword> offers to make it light on your pocket. 
 
For the Xperia range, one can get good deals from e-tailers like Flipkart, Snapdeal, HomeShop18, The MobileStore or Indiatimes Shopping. It starts from as little as Rs 6,500 for an Xperia Tipo and can go up to 43K for the latest waterproof smartphone Xperia Z1. Diwali offers from Sony also include freebies such as 5,000 mAh portable charger, MDR-ZX 100A headphone, premium case, snap-on cover and free data usage on different models. The Vaio line of laptops comes with bundled freebies including HDMI to VGA adapter dongle, MDR-ZX 100A headphone, and wireless keyboard &amp; mouse. 
 
 
 
 
<keyword id="13722" type="CITY" weightage="100" keywordseo="Lenovo">Lenovo</keyword> celebrating it big time Lenovo is celebrating this Diwali with lots of free accessories and discounts. You will get a sleek headset, a USB speaker and a wireless mouse with every <keyword id="13723" type="UNKNOWN" weightage="100" keywordseo="Laptop">laptop</keyword> you purchase, and a wireless headset for each all-in-one PC. Plus the company is giving generous discount on its <keyword id="516715" type="UNKNOWN" weightage="100" keywordseo="IdeaPad">IdeaPad</keyword> U, IdeaPad Z, <keyword id="720938" type="UNKNOWN" weightage="100" keywordseo="IdeaCentre">IdeaCentre</keyword> A and IdeaCentre B series. Just visit your nearest Lenovo shop and grab one. 
 
 
 
<keyword id="6354356" type="COMPANY" weightage="100" keywordseo="BlackBerry">BlackBerry</keyword> charm still on 
Those in love with the BB experience cannot go off it and the fabulous festival discounts on its premium Z10 model is bound to get some Diwali shoppers back to its fold. Earlier, BlackBerry announced an exchange offer on Z10, offering up to Rs 11,000 under the scheme. And you can still get it for Rs 29,990 as a limited period festival offer. But the e-tailers across India have really gone overboard with Diwali discounts and the last we checked, Z10 was up for grabs for as little as Rs 20,835 on eBay India. The smartphone running on the latest BB10 OS was launched here in February this year and was originally priced at Rs 43,499. 
 
 
 
Mad about Germany? Buy Bosch this Diwali Celebrate this festive season with exciting offers from Bosch, Europe’s leading <keyword id="16274" type="UNKNOWN" weightage="100" keywordseo="home-appliances">home appliances</keyword> brand, and win a trip for 2 to Germany. The scratch-and-win offer entitles 3 lucky customers (each gets two tickets) for the trip on a purchase of Bosch washing machines above 6 kg. And you also get to win assured discounts of Rs 250-Rs 9,999. The offer is available across all authorised Bosch dealers till November 15. There is a money-back offer for Bosch dishwashers as well, valid till the end of November. It gives you a chance to buy a dishwasher and return it within 30 days, if you are not satisfied. 
 
 
 
With LG’s offerings, life feels good An exciting brand with loads of top-end gadgets and domestic appliances. Visit the <keyword id="1919905" type="UNKNOWN" weightage="100" keywordseo="LG-Brand-Shops">LG Brand Shops</keyword> this Diwali for attractive cash-back offers, free insurance (for 6 months) and discount on annual maintenance cost (for domestic appliances). Try out the combo offers on LED <keyword id="6355065" type="COMPANY" weightage="100" keywordseo="tv">TV</keyword> and home theatre system (costs around Rs 55,000) or the Cinema 3D range of televisions for as low as Rs 42,000. As for mobile fads, LG Nexus 4 (16 GB) under 24K could be a good choice. 
Image: LG 
 
 
 
 
Finally, Kindle deals from <keyword id="6354743" type="COMPANY" weightage="100" keywordseo="Amazon-India">Amazon India</keyword> Here is the last of the bunch, from the e-commerce giant. Amazon India has just announced special Diwali offers on its <keyword id="831408" type="UNKNOWN" weightage="100" keywordseo="Kindle-e-reader">Kindle e-reader</keyword> and <keyword id="1919917" type="UNKNOWN" weightage="100" keywordseo="Kindle-Fire-HD-8-9-inch-tablet">Kindle Fire HD 8.9 inch tablet</keyword>s. Now you can buy a Kindle e-reader (not the Paperwhite devices) for Rs 4,999 instead of Rs 5,999. The 16 GB Kindle Fire HD 8.9 inch tablet is now available for Rs 17,999 – an aggressive price drop of Rs 4,000 from the earlier Rs 21,999. The 32 GB variant has seen a similar price cut – it is now available at Rs 21,999 instead of Rs 25,999. All offers are valid till November 1 and you only get them if you buy the gadgets from the Amazon India site. 
 
 
 
 
Image of fireworks: Wikipedia

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