Nokia is coming back in mobile phone and tablet market

NOkia mobile phones
NOkia mobile phones

Nokia has announced its plans to come back in mobile phone and tablet market globally. For this, company has signed a strategic agreement with HMD global Oy (HMD), Finland-based company. Under this agreement, HMD will sell Nokia branded mobile phones and Nokia will receive royalty payments from HMD. This agreement is valid for next 10 years.

HMD will be investing over $500 million in next three years to make Nokia branded smartphones and reach consumers.

Best deals on mobile phones

Thinking to buy a phone? do not miss these awesome deals

FIH Mobile Limited, a subsidiary of Hon Hai Precision Industries (trading as Foxconn Technology Group) has also announced to acquire Microsoft’s feature phone business assets, including manufacturing, sales and distribution. Nokia has also signed an agreement with FIH mobiles to give HMD full operational control of sales, marketing and distribution of Nokia-branded mobile phones and tablets. 

Ramzi Haidamus, president of Nokia Technologies, said, “Today marks the beginning of an exciting new chapter for the Nokia brand in an industry where Nokia remains a truly iconic name. Instead of Nokia returning to manufacturing mobile phones itself, HMD plans to produce mobile phones and tablets that can leverage and grow the value of the Nokia brand in global markets. Working with HMD and FIH will let us participate in one of the largest consumer electronics markets in the world while staying true to our licensing business model.”

It is worth to note that Nokia N1 tablet was built by Foxconn in partnership with Nokia and the new HMD venture.

Nokia has made it clear that HMD will only be getting branding rights and cellular standard-essential patent licenses. Nokia is not making a financial investment or holding equity in HMD. But Nokia will be in the board of directors at HMD global and it will furthermore “set mandatory brand requirements and performance-related provisions.”

Nokia’s feature phone, Android smartphones and tablets are coming back in market. So, the dream of getting an Android phone from Nokia is still alive.

Developing..

Source: Nokia HMD Global

Advertisement