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Microsoft refused to buy Nokia

After years of close cooperation on the basis of Windows Phone, Microsoft has virtually ceased negotiations on the purchase of the Nokia phone business. Now all discussions are almost gone, writes the Wall Street Journal.



The problem is, WSJ sources say, that Nokia was asking for too much price with weak market positions. Given Nokia’s not very impressive successes in recent years, it’s hard to blame Microsoft for not buying. Nokia, which was the number one manufacturer in the world in the world, lost its leadership to Samsung over the past year, and its Lumia smartphones, though received a good expert rating, have had limited success with consumers.
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Microsoft, as they say, paid Nokia for the transition to Windows Phone more than 1 billion dollars. Now Nokia is estimated at $ 14 billion, so buying the entire business of a Finnish company would be a rather costly enterprise for Microsoft.

And is it worth it? Surface showed that Microsoft itself can quite make high-quality hardware. Yes, Windows RT itself was not very successful, but according to rumors the company is now working on a Surface Phone, which could compete with the iPhone and reduce the dependence of the computer giant from Nokia. Experts say that at the moment and at such a price, Microsoft is better to try to make the phone itself, than to get involved in the Nokia corporate drama.

Although sales of Lumia are beginning to grow slowly, it is impossible not to say that Windows Phone itself is partly to blame for the weak start of smartphones. And it is Microsoft, anyway, that needs to be done more than just improving the OS to compete with the iPhone and Android. Companies need a top-end device and such a system so that people want to give up their smartphones. And do you need the participation of Nokia and its acquisition?

Source: https://habr.com/ru/post/184004/


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