Call Goodbye to Nokia

Microsoft will soon discontinue use of the brand “Nokia” when selling most cellular devices. The new name used will be “Microsoft Mobile Oyj” or just “Microsoft Mobile,” a subsidiary of Microsoft. Just this April, the superpower completed acquisition of Nokia’s handset division for over $7 billion. Nokia and Microsoft had sent an email to Nokia account users about the data transfer. However, since Microsoft does not own the other facets of Nokia such as its network equipment and software operation, these parts will retain their name. Microsoft’s license, a ten year arrangement, stipulates that current and subsequent mobile devices of Series 30 and Series 40 Operating systems still be called Nokia. Microsoft also inherited authority of nokia.com, the Finnish firm’s social media creation. 32,000 former Nokia employees will be transferred to Microsoft while Nokia’s former CEO, Stephen Elop, becomes the head of Microsoft’s hardware division. Microsoft was intending to cut 18,000 jobs until it acquired Nokia, granting relief for many employees.

Now, the higher-end and new handsets (particularly smartphones) will be subject to a name change to the “Microsoft” brand. The first high-end product with the change will be the Microsoft Lumia in place of Nokia Lumia. Most other smartphones and new devices will officially lose the “Nokia” title. Low-end and old devices still in production, on the other hand, such as Series 30 and Series 40 devices as well as Nokia 130 (a phone with no internet connections or applications) will still have the Nokia name. Microsoft intends for this name transition to be gradual and subtle as they keep the same names for products in circulation while using the Microsoft name for newer products. As the older “Nokia” cellular devices become obsolete and as Microsoft introduces new ones with their name, Nokia as a smartphone name will cease to exist. Profits have exceeded analyst expectations because the entire Nokia company, with its two remaining firms, profited 13% to 747 m euros in the last three months after selling to its part to Microsoft. This profit also extended to Microsoft, since annual revenue boosted to 2.8 bn euros in the last three months. Microsoft head Satya Nadella stated in response to dual profits, “Our teams are delivering on our core focus for reinventing productivity and creating platforms that empower every individual and organization.”