Back in September, Microsoft announced its plans to purchase Nokia's Devices and Services division. Now reports are coming in that the U.S. Department of Justice and the Federal Trade Commission have approved the deal.
According to IGN, Nokia's Devices and Services devision includes the company's smartphone products and the purchase will allow Micrsofot to produce its very own branded Windows Phone devices on the Nokia product lines. That means that it's possible for new upcoming Windows Phones to carry the familiar and consumer-friendly Lumia brand name.
The deal reportedly also includes a 10-year licensing agreement that grants Microsoft access to Nokia's patent portfolio. Microsoft still intends to produce Windows phone devices with other manufacturers but with the purchase of Nokia it now has a flagship brand model to operate under.
This will likely help out Microsoft, which has been struggling in the mobile department as a result of its unpopular operating system. In addition, the company is currently going through some major restructuring due to CEO Steve Ballmer's rapidly approaching departure from the company following the announcement of his retirement back in August. CEO of Nokia, and ex-Microsoft executive, Stephen Elop is set to return to his former employer as the head of its Devices team. Microsoft is expected announce its new CEO in the very near future.
The deal for the $7.2 billion purchase of Nokia by Microsoft is still contingent on approval by regulators in Europe, however that is reportedly expected to occur soon without any real problems.
The hope from each company is that very soon the partnership can result in a bevy of new smartphones powered by Microsoft's Windows operating system. Whether or not those will be included in the brand-recognized Lumia family of smartphones remains to be seen.
Tell us what you think of the purchase of Nokia by Microsoft. Are you on board with the company making Windows Phones from now on? Comment and share your thoughts with us below.
