Microsoft worked fast to purchase Nokia, and may still be looking at BlackBerry

Microsoft worked fast to purchase Nokia, and may still be looking at BlackBerry
Microsoft just agreed to spend over $7 billion to purchase the mobile unit from Nokia, and license a number of patents. The purchase news caused the Nokia stock to take a big jump, and caused Microsoft's stock to dip a bit. But, Microsoft may not be done with major purchases just yet. A new report is saying that the company may still be looking into BlackBerry.

According to a report from Bloomberg, Microsoft and Nokia have been talking about this deal since Mobile World Congress in February. The deal was apparently very emotional for the Nokia board, who took a long time and met a reported 50 times before coming to an agreement. The main points were agreed to by mid-summer, and the talks went into overdrive in August. That one month was when the majority of the work was done to get this deal through.

From Microsoft's side, Steve Ballmer had decided that the company needed to have its own branded devices to succeed (what isn't said in the article is that Microsoft's in-house efforts with the Surface apparently weren't enough.) On the Nokia side of things, the plan to sell the mobile device unit was described as "emotional" and "soul-searching", and the subtext there seems to indicate that Nokia knew that something major had to be done, which could point to financial troubles for the company which has been losing money the last couple years. 

Ultimately, the deal has been done, but a surprise revelation from the article is that Microsoft may still be "eyeing" BlackBerry. BlackBerry has been rumored to be up for sale for quite a while, and recently the company finally admitted as much. There have been plenty of rumors that put Samsung or Apple as names that may purchase BlackBerry, but now we have to add Microsoft to that list. 

source: Bloomberg

FEATURED VIDEO

66 Comments

1. harigrg33

Posts: 188; Member since: May 20, 2013

Nokia put themself into a coffin and blackberry will definitely go under six feet ground.

27. raunak

Posts: 507; Member since: Oct 12, 2011

only the name has changed, even employees are same, which means all the things nokia was known for will still be there.

30. ItsMyChoice

Posts: 37; Member since: Mar 19, 2013

we hope so.

35. JGuinan007

Posts: 699; Member since: May 19, 2011

til the mass firings and lay offs

60. DontHateOnS60

Posts: 872; Member since: Apr 20, 2009

Nokia has done too much for MSFT to make WP what it has become. There's too much talent there to just start laying people off. There will be cutbacks I'm sure, but the most valuable assets will be kept, and that's a lot of what they got with the deal.

44. microsoftnokiawin

Posts: 1268; Member since: Mar 30, 2012

48. boosook

Posts: 1442; Member since: Nov 19, 2012

Nokia will survive and probably prosperate, they just won't make phones anymore. There will not be another Nokia branded phone. No more. This is what happened with Ericsson when they sold their patents and their stake in the SonyEricsson joint-venture to Sony. Ericsson lives on, they still make network appliances, and they're good at it. The same will happen with Nokia: that's why the stocks went up. They'll be free from a business that (thanks to Elop) they have not been able to turn into a profitable business. The company will be profitable again, just it won't be of any interest to consumers anymore, as they won't make consumer products.

2. tiara6918

Posts: 2263; Member since: Apr 26, 2012

What exactly is ms doing? They already have nokia and now they want blackberry? I can tell something big is about to happen

9. LetsBeHonest

Posts: 1548; Member since: Jun 04, 2013

I hope someone would buy Microsoft. But none got that much money i think.

13. ihatesmartphone unregistered

Apple can buy MS!!

17. xperiaDROID

Posts: 5629; Member since: Mar 08, 2013

Don't even think about it. That's putting Microsoft into a coffin.

31. TechBizJP08

Posts: 495; Member since: Mar 25, 2013

no, if apple buy MS. we'll be in big trouble. PC sales will go up the charts..

36. JGuinan007

Posts: 699; Member since: May 19, 2011

PCs sales have steadily been declining and smart phone and tablet sales increasing pcs arent even thought of still being in the consumer market by 2020 only in business everyone will have tablets

66. downphoenix

Posts: 3165; Member since: Jun 19, 2010

and why would that be a bad thing? PCs are superior to phones. I would give up my phone before my PC, because my PC is more useful.

11. -box-

Posts: 3991; Member since: Jan 04, 2012

Patents. If PA let me attach photos I'd make one with the "_ ALL THE THINGS!" meme.

33. ardent1

Posts: 2000; Member since: Apr 16, 2011

Patents? Exactly.... MicroSoft makes a boatload of money from licensing their patents to android OEMs. With android hitting 1 billion activations, that is A LOT of money for MicroSoft. You throw in Nokia and Blackberry patents and MicroSoft will dominate the smartphone patent business.

63. Stoli89

Posts: 333; Member since: Jun 28, 2010

Actually Nokia only included a non-exclusive license for the phone related patents to MSFT/D&S. The patent portfolio remains with Nokia. Nokia is free to pursue smartphones after 2015. Nokia has been doing about $800 mio per year in patent licensing. Under the MSFT deal, about $200 per year for 10 years will be paid up front to Nokia. That leaves about $600 mio per annum in additional licensing business for the CTO division that remains within Nokia. (These are only estimates.)

19. volcano

Posts: 348; Member since: Jan 25, 2013

enterprise customers. patents and BBM

41. Trex95

Posts: 2320; Member since: Mar 03, 2013

Perhaps Lumia flagship comes with BBM services or BBM WP?!

49. boosook

Posts: 1442; Member since: Nov 19, 2012

They're simply desperate and trying to buy what they have not been able to build internally. They have not been able to attract new users, so they're trying to buy as much users as they can before it's too late. They're interested in Nokia and BB users, patents, services and application. This is their last and desperate attempt in surviving the smartphone and tablet revolution.

3. amansingal14

Posts: 309; Member since: Sep 08, 2012

Microsoft shouldn't buy BlackBerry for BlackBerry is already lying in the coffin and the ground is being dug for it. How can one revive a DEAD MAN?

16. Jack58221

Posts: 157; Member since: Feb 23, 2013

Don't need to revive a dead man if you can just go in and pick his pockets, sell the wood and cloth from the coffin, and lease the fresh dug whole out to someone else. MS can buy BB, get the patents they want and sell off what they don't need.

40. Cod3rror

Posts: 142; Member since: Apr 06, 2013

Brilliant!

64. Stoli89

Posts: 333; Member since: Jun 28, 2010

Actually, I doubt they would buy everything. Just a portion of the BBRY patent portfolio (they already have tons of owned patents or Nokia licenses to cover them) and possibly all or part of BES, NOC. etc.

26. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

Samsung can save blackberry and make it thrive. They could bring a whole series of BlackBerry phones to the market in the shortest amount of time. BlackBerry fans will buy the phone again because of Samsung backing. In fact Samsung must buy BlackBerry now that Microsoft has Nokia and they will use Nokia to attack Samsung corporate strategy.

34. Topcat488

Posts: 1411; Member since: Sep 29, 2012

Haven't you heard the Good News, that Death has been conquered. No? Google it. With Samsungs' Knox Security System, a BlackBerry acquisition would corner the market... @ Post #3

38. raphz

Posts: 37; Member since: Oct 22, 2012

Microsoft resurect apple from dead once.... do you still remember that?

4. xperiaDROID

Posts: 5629; Member since: Mar 08, 2013

They already bought Nokia and now they're turning BlackBerry into MicroBerries? Is Microsoft celebrating something? Celebrating the retirement of Steve Ballmer?

21. volcano

Posts: 348; Member since: Jan 25, 2013

no they want to break apple and google domination and secure third position in smartphone market it doesnt have to be either android or ios smartphone i guess redmond giant want more than nokia and microsoft together

5. Nathan_ingx

Posts: 4766; Member since: Mar 07, 2012

Whatever it is...i read a portion in today's morning local daily that Nokia will still own the 'Nokia' brand...and i am relived.

Latest Stories

This copy is for your personal, non-commercial use only. You can order presentation-ready copies for distribution to your colleagues, clients or customers at https://www.parsintl.com/phonearena or use the Reprints & Permissions tool that appears at the bottom of each web page. Visit https://www.parsintl.com/ for samples and additional information.