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Posted by Ted Schadler on September 3, 2013
Microsoft acquired Nokia's devices business for $7.2 billion (which is only 27% of Microsoft's 2013 earnings and just 9% of its cash and short-term investments). Microsoft bought the devices and some of the services along with the services of former Microsoft Office leader Stephen Elop, who will run Microsoft's Devices business. By all accounts, Stephen was a much-admired Microsoft executive when he left to run Nokia in 2010.
I'll leave telecom industry analysis of the deal in the worthy hands of my colleagues Thomas Husson and Charles Golvin. I'll leave journalistic speculation to the media. I'll leave personality analysis to the pop psychologists. But as a software+devices+services industry analyst, I'll share my analysis of how this acquisition changes Microsoft's position in the mobile mind shift.
Here's what I think will happen:
For the CIOs I serve every day, this acquisition should bring comfort. Microsoft is doubling down on mobility, and that can only be a good thing for you. You can have more confidence that your Windows 8 tablet trials will be joined by a renewed Microsoft commitment to devices+services across tablets and phones.
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