Nokia and Microsoft announce broad strategic partnership

Nokia (Espoo, Finland) will join with Microsoft (Redmond, WA, USA) to challenge Apple and Google’s grip on the smartphone market in a bold move by the Finnish manufacturer.

Nokia will use Windows Phone as its software platform for all forthcoming smartphones as part of a sweeping overhaul announced by CEO Stephen Elop.


Nokia (Espoo, Finland) will join with Microsoft (Redmond, WA, USA) to challenge Apple and Google’s grip on the smartphone market in a bold move by the Finnish manufacturer.

Nokia will use Windows Phone as its software platform for all forthcoming smartphones as part of a sweeping overhaul announced by CEO Stephen Elop.

Investors were worried by the announcement and Nokia shares dropped more than 20% since the announcement. Industry manufacturers have been supportive of the deal however, most notably Jan Geldmacher, CEO of Vodafone Germany, who said “Nokia’s decision to adopt Microsoft’s Windows Phone operating system is good for the smartphone market” in an interview with PC World at CeBIT 2011 in Hannover, Germany.

Nokia lost ground in the smartphone market with the release of the iPhone, and then again with products based on Google Android OS.

For Microsoft, the deal represents a breakthrough after years of struggling to gain a foothold in the wireless industry.