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Wednesday, March 9, 2011
Microsoft Pay's $1 Billion to Nokia
Microsoft paying nokia $1 Billion for the Nokia-Microsoft deal. The $1 Billion is to promote and develop Windows Phone 7 Platform. Microsoft has given Nokia freehand and it can tweak the WP7 in what ever way they want.
This looks like a win-win situation for Nokia. Nokia will still be manufacturing its Symbian Platform Phones, and even developing MeeGo Platform with Intel. So even paying $1 Billion does'nt gaurantee exclusivity of platform to Microsoft. Nor are these WP7 powered Nokia phones going to come any time soon.
The deal between the two giants is for a long 5 years. Microsoft will very well recover its $1 Billion by then and even make profits on it. But one thing that Microsoft now has by paying such a huge sum is that now it will have access to such a huge market, where ever Nokia has a presence.
In a way Microsoft has just paid this money to ensure that Nokia does'nt go the Android way.
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