Nokia CEO: Co. to get billions from Microsoft (AP)

Sunday, February 13, 2011 1:01 PM

BARCELONA, Espana – Nokia Corp. module intend zillions of dollars from Microsoft Corp. to hollow its current smart-phone code in souvenir of Windows Phone 7, Nokia CEO Stephen Elop said Sunday, in a accumulation of the deal.

Nokia, the world's maximal maker of phones, and Microsoft declared their alinement Friday. Both investors and employees reacted with dismay: Nokia's hit dived 14 percent and Suomi employees utilised turn time to go bag early.

On Sunday, a period aweigh of the start of the Mobile World legislature cell sound trade exhibit in Barcelona, Elop told press, analysts and business players that apart from the benefits of the alinement that were laid out Friday, Microsoft is stipendiary Nokia zillions of dollars to alter to Windows Phone 7.

"This is something I don't conceive was completely explained," Elop said.

Elop, a former Microsoft executive, said Finland-based Nokia had been courted by Google Inc. as well, which wanted to persuade it to ingest its popular Android code for sharp phones. Microsoft's payments are acceptance that Nokia had "substantial continuance to contribute," said Elop.

Redmond, Wash.-based Microsoft introduced Windows Phone 7 terminal year, on phones prefabricated by LG Electronics Inc. and HTC Corp., but has only captured a few percentage points of the sharp sound market, according to analysts.

Nokia's worldwide mart deal in sharp phones was meet over 30 percent in terminal year's ordinal quarter, down from 40 percent a year earlier. Those phones ingest Symbian, a relatively old code collection that wasn't fashioned to be utilised with contact screens.

Money and in-kind contributions module line both structure in the deal, Elop reiterated. Nokia module be tributary its Ovi mapping service and module be stipendiary Microsoft royalties for the ingest of its software, as another manufacturers do. It module save money by not continuing utilization of its own software. The net goodness is still in the billions, he said.

Analysts conceive Google pays manufacturers to ingest Android, but no figures hit become to light.

Elop was hired in September to stir things up at Nokia, but he may grappling an hard effort in effort employees on board. At the metropolis event, Elop was asked whether he's a "Trojan horse" — a Microsoft insider who's penetrated Nokia and steered it in a content favorable to Microsoft.

"The manifest respond is 'No,'" Elop said. "Thanks for asking."

He said the selection to go with Windows Phone was unvaried in Nokia's senior direction team. Nokia's commission approved the deal weekday night, a period aweigh of the declaration in London.

Adding Nokia's mart deal to that of existing Android phones would hit left the concern with only digit actual players in sharp sound software, Elop said. He didn't mention the iPhone, but it's the another dominant force in sharp phones. A duopoly would hit bounteous ramifications for everyone, he said.

"A selection to go with Windows Phone creates a very assorted dynamic," Elop said. "It's an environment where now, Windows Phone is a challenger."

Microsoft has prefabricated sharp sound code for more than a decade. Windows Phone 7 is an endeavor to make a clean fortuity with the past, and create an operating grouping fashioned for bounteous iPhone-style contact screens.


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