The multi-billion deal, which was announced back in September 2013, was approved by Nokia shareholders one month later, and has now been approved by governmental regulatory agencies around the world.
“Today we welcome the Nokia Devices and Services business to our family. The mobile capabilities and assets they bring will advance our transformation,” said Microsoft CEO Satya Nadella.
“Together with our partners, we remain focused on delivering innovation more rapidly in our mobile-first, cloud-first world,” he added.
The tech company also welcomes personnel with deep industry experience in more than 130 sites across 50 countries worldwide, including several factories that design, develop, manufacture, market and sell a broad portfolio of innovative smart devices, mobile phones and services.
As part of the cooperation, the software giant will honor all existing Nokia customer warranties for existing devices, beginning April 25, 2014.
Stephen Elop, former Nokia President and CEO, chimed in with a similarly worded open letter. “As Microsoft and Nokia Devices and Services come together as an expanded family, we will unify our passion, dedication and commitment to bringing you the best of what our joint technologies have to offer (…) From today onwards, the possibilities are endless. As now, we’re one,” he wrote.
Microsoft Corp announced its plans to purchase Nokia’s mobile phone business for 5.44 billion euros ($7.2 billion) back in September.
The deal provides Microsoft Corp access to Nokia’s smartphones and its design team as the software giant struggles to compete against world-known companies after missing the mobile revolution.
Steve Ballmer, who recently left Microsoft after 30 years of work, said: “It’s a bold step into the future — a win-win for employees, shareholders and consumers of both companies.”
“Bringing these great teams together will accelerate Microsoft’s share and profits in phones, and strengthen the overall opportunities for both Microsoft and our partners across our entire family of devices and services,” he added.
Nokia was used to be at the top of the mobile market with its virtually indestructible handsets. However, the Finnish company was quite slow to develop smartphones and lost the battle field to Apple and other market giants like Samsung and HTC.
Elop, who joined the company four years ago, famously compared Nokia to a man on a burning oil platform who had no choice but to leave it.
Under the deal, the software company paid €3.79bn to buy Nokia’s Devices & Services business, and €1.65bn to license Nokia’s patents for 10 years.
Under the terms of the deal Microsoft also purchased the Asha brand and licensed the Nokia brand for use with current Nokia mobile phone products.
“This element provides Microsoft with the opportunity to extend its service offerings to a far wider group around the world while allowing Nokia’s mobile phones to serve as an on-ramp to Windows Phone,” Microsoft said in a statement.
Around 32,000 Nokia employees were transfered to Microsoft, including 4,700 people in Finland and 18,300 employees involved in manufacturing, assembly and packaging of products worldwide.