The great days of seeing several mobile phones with the Nokia logo attached is coming to an end as the $7.2 billion acquisition deal closes on Friday. It's the end of an era that was filled with successes and failures that helped to create this point in history.
"Today we are excited to share that we have completed the steps necessary to finalize Microsoft's acquisition of the Nokia Devices and Services business," says Microsoft. "The transaction will be completed this Friday, April 25, when we'll officially welcome the Nokia Devices and Services business as part of the Microsoft family."
The deal was delayed by a month after both Microsoft and Nokia had to await regulatory approval in Asia. Now that the deal has been approved, we have to remove our hats and bid farewell to Nokia, a company that had managed to bring changes to the mobile arena, but failed to change when the market evolved.
With the acquisition approved, Microsoft will be making a few changes to cement itself as the owner of Nokia's mobile division. First of all, the 21 Nokia employees in China, will now come over to the Microsoft camp, so some good news there for folks who might come under the impression that they might lose their jobs.
Furthermore, rumors having been going around after a supposedly leaked letter to Nokia suppliers has shown that Microsoft plans on branding Nokia's devices division to Microsoft Mobile. In addition, suppliers were told that the current terms of condition will not change, so it should be business as usual going forward.
"Under the terms of the sale, Microsoft will assume all rights, benefits and obligations of the Nokia Devices and Services business, including Nokia's agreements with suppliers, customers and partners which pertain to the Devices and Services business," as written on the leaked letter. "Therefore, the purpose of this letter is to update you that the current terms and conditions that you have with the Devices and Services business will not change."
"Please note that upon the close of the transaction between Microsoft and Nokia, the name of Nokia Corporation/Nokia Oyj will change to Microsoft Mobile Oy. Microsoft Mobile Oy is the legal entity name that should be used for VAT IDs and for the issuance of invoices."
There's no proof that this letter is real, but if it is, then it shows that Microsoft is quite serious about making a big push in the mobile hardware business.
For those who worry about never seeing another smartphone with the Nokia logo attached, this might not be the end. Microsoft has the rights to use the Nokia branding if it so wishes, so there is a chance Nokia branded devices may live on one way or the other.
