Nokia, the once-“burning platform” mobile devices company, is now seen to be a looked-upon savior for Microsoft. Late Labor Day evening, Microsoft announced it would be acquiring the handset and services business of Nokia, as well as licensing Nokia’s substantial patent portfolio.
The all-cash deal shakes out to be €3.79 billion for Nokia’s handset business itself, and an additional €1.65 billion to license the patents, a total of €5.44 billion, which currently equates to $7.17 billion on the exchanges. Nokia will be keeping its networking, mapping and location businesses and technologies. The deal is expected to close in the first quarter of 2014.