IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Microsoft makes changes to Nokia acquisition deal

Nokia to be rebranded as Microsoft Mobile, according to memo

Microsoft sign outside glass building

Microsoft has outlined several changes to the original terms of its deal to acquire Nokia's devices and services business, as the completion date for the buyout nears.

The software giant announced plans to acquire the Finnish firm's mobile phone business for around 4.6 billion last September, much to the delight of industry watchers.

The deal was initially expected to close by the end of last month, but delays in getting the acquisition signed off by Chinese regulators has resulted in that date being pushed back to Friday 25 April.

In a blog post, confirming the deal's imminent closure, Brad Smith, general counsel and executive vice president of legal and corporate affairs at Microsoft, revealed several amendments to the acquisition's original terms had been made.

For example, the original deal stated that Microsoft would acquire Nokia's North Korean manufacturing facility when the acquisition goes through, but this has since been revoked.

The deal terms also initially reported that all staff working in Nokia's Chief Technology Office would not join Microsoft.

"We've adjusted this agreement so the 21 employees in China working on mobile phones will join Microsoft and continue their work," Smith wrote.

Furthermore, the original acquisition agreement made no reference to what would become of Nokia's online assets, once the deal goes through.

"Our two companies have agreed that Microsoft will manage the nokia.com domain and social media sites for the benefit of both companies and our customers for up to a year."

Meanwhile, according to a supposedly leaked internal memo from Nokia to its suppliers, the deal could see its brand name replaced with the Microsoft Mobile moniker.

The document states: "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."

Featured Resources

Four strategies for building a hybrid workplace that works

All indications are that the future of work is hybrid, if it's not here already

Free webinar

The digital marketer’s guide to contextual insights and trends

How to use contextual intelligence to uncover new insights and inform strategies

Free Download

Ransomware and Microsoft 365 for business

What you need to know about reducing ransomware risk

Free Download

Building a modern strategy for analytics and machine learning success

Turning into business value

Free Download

Recommended

Microsoft says it's provided over $100 million in tech support to Ukrainian government
cyber attacks

Microsoft says it's provided over $100 million in tech support to Ukrainian government

20 May 2022
Microsoft to double salary budget to retain workers
Careers & training

Microsoft to double salary budget to retain workers

17 May 2022
Microsoft warns of new botnet variant targeting Windows and Linux systems
Security

Microsoft warns of new botnet variant targeting Windows and Linux systems

16 May 2022
Windows Server admins say latest Patch Tuesday broke authentication policies
Server & storage

Windows Server admins say latest Patch Tuesday broke authentication policies

12 May 2022

Most Popular

Russian hackers declare war on 10 countries after failed Eurovision DDoS attack
hacking

Russian hackers declare war on 10 countries after failed Eurovision DDoS attack

16 May 2022
Researchers demonstrate how to install malware on iPhone after it's switched off
Security

Researchers demonstrate how to install malware on iPhone after it's switched off

18 May 2022
Windows Server admins say latest Patch Tuesday broke authentication policies
Server & storage

Windows Server admins say latest Patch Tuesday broke authentication policies

12 May 2022