Microsoft gets US government nod for Nokia unit takeover
The US Federal Trade Commission on Monday said that the country's antitrust regulators have approved Microsoft Corp.'s deal to buy Nokia's mobile phone business. According to a report by Reuters, the expected government approval came on November 29. The next step will be for the companies to win the European Union's (EU) approval for the proposed USD7.3 billion takeover.
Sources told Reuters on November 22 that the transaction was headed for unconditional approval in Brussels. The EU competition watchdog has set a December 4 deadline for its decision.
The report also stated that Nokia in September agreed to sell its devices and services business and license its patents to Microsoft. The decision to exit the loss-making unit came after the Finnish mobile phone manufacturer failed to recover from a late start in the smartphone sector.
The purchase underscores Microsoft's push into the competitive consumer devices market. The American tech giant will face fierce competition from smartphone market leaders Samsung Electronics and Apple, Reuters said.