EU expected to give Microsoft a go-ahead for USD7.3 billion Nokia deal
Tech giant Microsoft Corp. is determined to secure an unconditional regulatory approval from the European Union (EU) for its planned takeover of Nokia's business unit. Microsoft intends to buy the Finnish multinational's mobile phone business for EUR5.4 billion (USD7.30 billion).
Reuters said the deal highlighted Microsoft's push into the competitive consumer devices market. The takeover was announced in September and included a 10-year licensing agreement of Nokia's patent portfolio.
Should the deal push through, Microsoft will be up against the world's smartphone market leaders Samsung Electronics and Apple. Samsung and Apple combined accounted for 90% of the global smartphone market, according to the International Data Corporation.
Sources told Reuters that the EU commission is expected to approve the deal without conditions. The EU competition watchdog has set a December 4 deadline for its decision, the report said.
Regulators in Russia, India, Turkey and Israel have already given the deal a go signal. Nokia shareholders, amid minority opposition, had also given a thumbs-up to the sale of what was once Finland's national icon, Reuters said.