Software giant Microsoft has delved into the world of mobile gadgets since it bought out Nokia, the erstwhile world leader in mobile phones, around three years ago. But it seems that their foray into the market has not resulted in the success that they expected. Eventually, Nokia slowly faded into obscurity, although it still has a name in making feature phones. And with Microsoft solely focusing on developing smartphones to go with its new applications, it has decided to sell the feature phone division of Nokia.
Microsoft has announced that it is selling Nokia’s feature phone division to Foxconn for $350 million. By looking at it, Microsoft may have gotten into a good deal for something that they may no longer be needing, considering that it bought Nokia for $7.1 billion. With this deal, Microsoft will be handing over to Foxconn all its feature phone software and assets, brands, care network, customer contracts and critical supply agreements included in the division. This also includes Foxconn taking in the division’s 4,500 employees. Microsoft will still continue on with developments on its smartphone business including support for its Lumia brand.
While Microsoft so far has not made a dent in the market, its new Windows 10 smartphones may slowly be getting some attention, given that it is taking the steps in the right direction. By getting rid of its Nokia feature phone division, it may have likely let go of its excess baggage and even recoup some of the losses it may still be dealing with that is associated with the huge merger with Nokia.