Nokia signs strategic brand and intellectual property licensing agreement enabling HMD global to create new generation of Nokia-branded mobile phones and tablets. HMD global Oy is the new company based in Finland, which has been granted the exclusive global license to make Nokia-branded mobile phones and tablet devices for the next 10 years.
In an official statement put up by Nokia, the officials said,
We are proud to announce that the Nokia brand will be returning to the worldwide mobile phone and tablet market.
So, under a new agreement, Nokia Technologies has granted HMD, a new company led by some of the world’s top mobile specialists, an exclusive global license to create a full range of Nokia-branded smartphones, tablets, and feature phones for the next decade.
HMD has been founded with an aim to bring back the Nokia brand and the products, ranging from feature phones to smartphones and tablets. There has been a conditional agreement made with Microsoft to acquire the rights to use Nokia brand on feature phones, and certain design-related rights.
A part of the release says: The Microsoft transaction is expected to close in H2 2016. Together these agreements would make HMD the sole global licensee for all types of Nokia-branded mobile phones and tablets. HMD intends to invest over USD 500 million over the next three years to support the global marketing of Nokia-branded mobile phones and tablets, funded via its investors and profits from the acquired feature phone business.
HMD’s new smartphone and tablet range will be running Android OS. It doesn’t mention whether there will be any changes to how Android was used in the Nokia X series that used the forked version of Android, but still, running Android will give Nokia a clear advantage over how it was with Windows Phone in the recent past.
As also announced today by FIH Mobile Limited (FIH), a subsidiary of Hon Hai Precision Industries (trading as Foxconn Technology Group), the remainder of Microsoft’s feature phone business assets, including manufacturing, sales and distribution, would be acquired by FIH.
Arto Nummela will be the CEO of HMD after the transaction with Microsoft is completed. Numella is currently the head of Microsoft’s Mobile Devices business for Greater Asia, Middle East and Africa, as well as Microsoft’s global Feature Phones business.
Florian Seiche, who is currently Senior Vice President for Europe Sales and Marketing at Microsoft Mobile, and previously held key roles at Nokia, HTC and other global brands, will be the president of HMD.
Sources: Pic Source
