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Microsoft Gets Back with Nokia After a Failed $7 Billion Smartphone Deal

In 2016, Microsoft sold the Nokia smartphone business for $350 million to HMD Global which now sells Nokia-branded phones

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FILE - A sign for Microsoft is seen on a building in Cambridge, Massachusetts, March 18, 2017. VOA

After a failed $7 billion acquisition of Nokia’s smartphone business five years back, Microsoft has announced a strategic collaboration with the Finnish company to accelerate transformation and innovation across industries with Cloud, Artificial Intelligence (AI) and Internet of Things (IoT).

The new partnership brings together Microsoft cloud solutions and Nokia’s expertise in mission-critical networking, to help enterprises and communications service providers (CSPs) transform their businesses.

“Bringing together Microsoft’s expertise in intelligent cloud solutions and Nokia’s strength in building business and mission-critical networks will unlock new connectivity and automation scenarios,” Jason Zander, executive vice president, Microsoft Azure, said in a statement on Tuesday.

BT is the first global communications service provider to offer its enterprise customers a managed service that integrates Microsoft Azure cloud and Nokia SD-WAN solutions.

“Together, we will accelerate the digital transformation journey towards Industry 4.0, driving economic growth and productivity for both enterprises and service providers,” said Kathrin Buvac, President of Nokia Enterprise and Chief Strategy Officer.

Nokia has made several small to medium-sized acquisitions as part of a strategy to build up a standalone software business to deliver higher profit margins than its classic communications hardware products.
Headquarters of Nokia. Wikimedia Commons

The Nokia Digital Automation Cloud (Nokia DAC) 5G-ready industrial-grade private wireless broadband solution with on-premise Azure elements will enable a wide variety of secure industrial automation solutions.

“For example, connected smart tools and machines on manufacturing floors that enable increased productivity, flexibility and safety for workers, or autonomous vehicles and robots in industrial environments that improve automation, efficiency and overall safety,” said Microsoft.

Also Read: Tech Giant Google to Help Build Open Source, Highly Secure Chips

Enterprises will be able to use Azure IoT Central and partner solutions for faster and easier enablement and implementation of their IoT applications together with Nokia’s IoT connectivity solutions.

In 2014, Microsoft acquired Nokia’s smartphone business. The company later quit the smartphone business, laying off thousands of employees.

In 2016, Microsoft sold the Nokia smartphone business for $350 million to HMD Global which now sells Nokia-branded phones. (IANS)

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Amazon Asks Judge to Block Microsoft from Pentagon Project

The US government in October awarded the much-anticipated $10 billion Cloud contract for Pentagon to Microsoft

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Security guards stand at the reception desk of the Amazon India office in Bengaluru, India, Aug. 14, 2015. VOA

Amazon Web Services (AWS), the retail giant’s Cloud arm, has asked a US judge to force a stay of work on Microsoft’s $10 billion Cloud contract until the court can rule on Amazon’s protest over the Pentagon awarding JEDI to Microsoft.

Amazon had sought ‘preliminary injunction’ from the court to temporarily block Microsoft from starting work on the billion Joint Enterprise Defense Infrastructure (JEDI) project.

In a statement shared with Fast Company, an AWS spokesperson said that it is common practice to stay contract performance while a protest is pending.

“It’s important that the numerous evaluation errors and blatant political interference that impacted the JEDI award decision be reviewed. AWS is absolutely committed to supporting the DoD’s modernisation efforts and to an expeditious legal process that resolves this matter as quickly as possible,’ the spokesperson added.

Amazon filed a motion asking a federal judge to block Microsoft from working on any substantive tasks for the JEDI project while the court considers the matter. The motion makes good on Amazon’s previous pledge to try to pause work on the contract while the legal challenge is underway.

FILE - Microsoft Corp. signage is shown outside the Microsoft Visitor Center in Redmond, Wash.
FILE – Microsoft Corp. signage is shown outside the Microsoft Visitor Center in Redmond, Wash. VOA

Amazon last year filed a suit with the US Court of Federal Claims contesting the decision.

“AWS is absolutely committed to supporting the Department of Defense (DoD’s) modernisation efforts and to an expeditious legal process that resolves this matter as quickly as possible,” the AWS spokesperson said.

Also Read: Tencent Offers to Acquire Funcom Games for $148mn: Tech Report

Microsoft is set to start its work on JEDI Cloud contract from February 11.

The US government in October awarded the much-anticipated $10 billion Cloud contract for Pentagon to Microsoft.

In its complaint against the government decision, Amazon alleged Trump abused his position to put “improper pressure” on decision-makers for personal gains and show his hatred towards Bezos who owns The Washington Post. (IANS)