Microsoft has announced that it’s selling its feature phone business for $350 million in a group deal to FIH Mobile, a subsidiary of Chinese hardware manufacturer Foxconn, which manufactures iPhones for Apple, and a newly formed company called HMD Global.
The deal includes Microsoft’s entry-level mobile device assets and the Nokia brand name, as well as its manufacturing facility in Hanoi, Vietnam. The transaction is expected to be finalized in the second half of this year.
When it is finished, HMD will have the capacity to offer Nokia-marked component telephones and additionally Android-based cell phones and tablets. The new firm wants to contribute more than $500 million throughout the following three years to market its versatile items around the world.
The thought is to exploit Nokia’s image value, which it gathered more than quite a while making fantastic element telephones and Windows Phone-based cell phones.
Notwithstanding, this won’t be the first run through the brand’s mark will elegance an Android-based gadget. Close to the end of 2014, it propelled the wonderful $250 N1 tablet however didn’t make it generally accessible around the globe. Ideally, its dispatch with HMD will see its items in stores over the globe soon.
The deal won’t influence Microsoft’s Windows-based versatile operations. The organization says it will keep on developing Windows 10 Mobile and keep its Lumia image of telephones alive, while keeping on collaborating with equipment creators like Acer, Alcatel, HP and VAIO.
The move ought to free up Microsoft to concentrate on lead gadgets taking into account Windows 10. The organization is supposed to take a shot at a Surface Phone for 2017, yet it hasn’t affirmed any points of interest yet.