News Byte: Microsoft Goes Mobile

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News Byte: Microsoft Goes Mobile
News Byte: Microsoft Goes Mobile

Microsoft announced that it has reached an agreement to purchases Nokia's phone business, giving the company an increased stake in mobile marketing and, perhaps, a successor to CEO Steve Ballmer, who will retire next year. Nokia CEO Stephen Elop is a Microsoft alumnus.

The two companies partnered on Nokia phones after the Windows Phone operating system launched in November 2010, most notably with Nokia's Lumia series of devices. Microsoft reports that the phones are outselling Blackberry in 34 markets and have a 10% share in nine markets.

In a presentation outlining  the deal, which also includes the purchase of several patents, Microsoft named increased innovation and marketing efficiency as key motivations. It projects that the deal will help it claim a 15% share of the global smartphone market worth around $45 billion by 2018.

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