1. Market Research
  2. > Consumer Electronics
  3. > Portable Devices
  4. > Mobile Phone Market Trends
  5. > Nokia: Acquisition by Microsoft, and what next for Windows Phones?


In September 2013, Finnish mobile phone manufacturer Nokia agreed to sell its mobile handset arm to technology giant Microsoft in a deal worth EUR5.4bn (approximately $7bn). The move represents a new phase in Microsoft’s plan for Windows phones and the company’s modernization attempts.

Features and benefits

* Analysis of US Technology giant Microsoft's decision to acquire Finnish Nokia's mobile devices business following years of poor performance.
* Evaluates why Nokia fell, what Microsoft plans to do, and the consequences of the merger.


Nokia was once the envy of the telecoms industry, earning more than 50% of all the profits in the mobile-phone industry in 2007, when the company was at its zenith. Within six years, Nokia is struggling. Whilst still one of the largest mobile phone companies in terms of handset sales, it has fallen behind in the smartphone era.
Microsoft has suffered similar problems to Nokia making a series of blunders in its attempts to take advantage of the growing mobile devices market. By acquiring Nokia, it now has a direct smartphone manufacturer which can be used to compete.
The move has attracted considerable infighting within Microsoft and also may prove a dud. Nokia managed to produce critically acclaimed phones, but could not translate this into successful sales. Windows phones would need to significantly improve their sales to break even by the target of 2016.

Your key questions answered

* How did Nokia fall behind in the smartphone era?
* Why has Microsoft decided to acquire Nokia?
* Will Microsoft's strategy succeed?

Table Of Contents

Nokia: Acquisition by Microsoft, and what next for Windows Phones?
The current state of the mobile phones market
Nokia's recent performance
Nokia's failure in the smartphone market
2007-2010: Nokia and Symbian's loss at Android's gain
Windows app store restrictions
Microsoft's transition to device and services
Microsoft is still unsuccessful in mobile device technology
Surface tablet fails to sell and Windows Phone's limited sales
Microsoft emulates Apple's tactics: OEM sidelined
Vertical integration will improve profit margins and the product
Nokia will assist tablet manufacturing too
Windows Phone's advantages over Android
Windows Phones still trails the incumbents considerably
Branding problems?
Windows 7 incompatibility with Windows 8
The problem of Windows phone being a small player in a large market
Alienating Microsoft's current clientele
Forcing consolidation in Windows smartphones
Tablet production and computing OEMs
Microsoft's basic handset problem
Nokia in India
Vertical integration was necessary, but the future is uncertain
Further Reading
Ask the analyst
About MarketLine

View This Report »

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 24 Million searchable statistics with tables, figures & datasets
  • More than 10,000 trusted sources
24/7 Customer Support

Talk to Veronica

+1 718 514 2762

Purchase Reports From Reputable Market Research Publishers
Mobile services in developed Asia–Pacific: trends and forecasts 2016–2021

Mobile services in developed Asia–Pacific: trends and forecasts 2016–2021

  • $ 7999
  • Industry report
  • January 2017
  • by Analysys Mason

"Total service revenue in emerging Asia–Pacific will grow rapidly, driven by network coverage expansion and service upgrades." Growth in mobile data, fixed broadband and IPTV revenue will compensate ...

Sub-Saharan Africa telecoms market: interim forecast update 2016–2021

Sub-Saharan Africa telecoms market: interim forecast update 2016–2021

  • $ 7999
  • Industry report
  • March 2017
  • by Analysys Mason

"Mobile services will account for 86.2% of the telecoms service revenue in Sub-Saharan Africa in 2021." This report provides: - an interim update of our 5-year forecast (previously published in Octobe ...

Smartphone Security - Global Market Outlook (2016-2022)

Smartphone Security - Global Market Outlook (2016-2022)

  • $ 4157
  • Industry report
  • December 2016
  • by Stratistics MRC

According to Stratistics MRC, the Smartphone Security Market is estimated at $2964.89 billion in 2015 and is expected to reach $17,500 billion by 2022 growing at a CAGR of 42.6% from 2015 to 2022. Increased ...


Reportlinker.com © Copyright 2017. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.