Nokia may consider sale of phone unit to Microsoft

“According to industry insider Eldar Murtazin, Nokia is set to begin discussing the possibility selling its cell phone business to Microsoft,” Zach Epstein reports for BGR.

“The blogger, who has a proven track record of disseminating accurate intel, says negotiations will begin next week and the results will not immediately be made public,” Epstein reports. “If the two giants do work out a sale, however, it could close before the end of 2011.”

Read more in the full article here.

[Thanks to MacDailyNews Reader “Lynn W.” for the heads up.]

44 Comments

  1. I mean… isn’t it obvious that this is where it’s going? MS has done this time and time again… start with an open platform, fail, then zero in on one exclusive partner, screwing the others (ala BlowsForSure). So if MS buys up Nokia hardware they can actually do integrated devices just like Apple…

  2. I knew it! I saw this coming the moment Nokia hired one of Microsoft’s former executives. He moved in, cleaned house of all the deadwood in preparation for a takeover by Microsoft.

    Anyone who didn’t see this coming is thick. Microsoft is not subtle and have always telegraphed their punches. Gawd they’re so predictable.

    Skype will be churned into butter, never to be seen again.

  3. I never ceases to amaze me, how utterly stupid some people are. It is even more amazing when those people are in positions of some importance. Not important to me personally but to many people who may depend on the actions of said persons for their substance. May Ballmer remain for as long as it takes!

  4. WOW! That’s a hell of a Trojan Horse! Send one of your top execs to head up another company, then have him sell it too you (probably at a cheap rate). What does Nokia’s board think about all this??

  5. What other “units” do they have that are worth anything?
    Basically Nokia is admitting total failure with this move, and wisely, will sell off the remains for MS to finish destroying ala Danger. Wow! Another master class in hubris and failure for prospective MBAs.

    1. They have a lot of backend and cell tower systems in addition to Nokian Tires I still believe is in their portfolio (tires is how it started.)

      Microsoft and Nokia is a match in hell that will bring down both the 2 mobile brands. I will have to get more popcorn.

      1. Nokia is no longer in the rubber business- solely telecommunications now. Yes, losing mobile phones, even just consumer phones, would basically be the end of ‘Nokia’ as a brand. Makes this story almost out of the realm of the believable, but, with µ$oft involved, not impossible.

    2. Nokia will hold on to their patents and the executives will bleed the cell phone industry dry while living in first class with lots of hookers and beer.

  6. Nokia saw that Microsoft paid over the odds for Skype and decided that there is no other company stupid enough to make a generous offer for Nokia.

    Nokia needed to move swiftly before Ballmer gets fired.

    1. That’s the first thing that popped in my mind too. I was going to comment on it, then noticed yours. I can start a chair repair shop, and am willing to sell it to MS retroactively, should Mr. Ballmer be interested. I won’t ask for $8.5 billion, I promise.

    2. What a delightful idea, get Ballmer back into the MS money pile with his big shovel, to pay billions for something nearly worthless. Several billion here and there, after a while it’s not such a big pile. Too bad he backed out of the Yahoo purchase.

  7. It all makes sense now. Microsoft didn’t care that the purchase of Skype didn’t include the telephony IP. That isn’t what they were after. They wanted to corral the millions of Skype accounts and put them out to pasture.

    Microsoft will bury all those accounts, and by proxy, kill off a huge segment of those living outside the telcom industry.

    It’s either that or, they’re going to compete directly with the telcom’s by promoting internet telecommunications is a very big way.

    Which makes more sense?

    What remains to be answered is, did Microsoft pay three-times the worth of Skype just to get their hands on Skype’s core telephony IP, which is still in possession of the original creators, last time I checked.

    If they didn’t, then the notion that Microsoft is getting into the internet phone business is a red herring.

  8. Now google just needs to pretend it is interested and M$ will be paying double Nokia’s value. As Bugs would say “What a bunch of maroons!”

    What would Nokia do after it sells it phone business. It is like saying Ford would be selling off it’s automotive division. Nokia started off as a paper company, maybe it is back to old drawing pad and supplies.

  9. Ridiculous.

    No, Nokia will not sell its “cell phone” division to Microsoft. That is their primary business and they are perhaps the largest in the world. Microsoft is desparate to get Nokia to use their software on all their phones but that does not mean Nokia would be bought by Microsoft.

    Ridiculous article that will only rattle the stock market unnecessarily.

    1. Remember burning platforms? Jump or perish – Nokia is learning what it means to be Elopped.

      It really doesn’t matter how large or strong you are when there’s a predatory virus in your brain.

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