It’s official! The iconic Nokia is now all set to re-enter the mobile phone market. Nokia has signed a strategic licensing agreement with Finland-based HMD Global for manufacturing Android powered Smartphones and Tablets under the brand name of Nokia. HMD will be investing over $500 million in the next three years to make the Nokia branded smartphones to reach the consumers.
Speaking on the occasion, Arto Nummela , CEO of HMD Global, said,
“We will be completely focused on creating a unified range of Nokia-branded mobile phones and tablets, which we know will resonate with consumers. Branding has become a critical differentiator in mobile phones, which is why our business model is centered on the unique asset of the Nokia brand, and our extensive experience in sales and marketing. We will work with world class manufacturing and distribution providers to move quickly and deliver what customers want.”
Recently there are rumors suggesting Microsoft to sell the Nokia trademark for feature phones to Foxconn. Microsoft is the sole manufacturer of Nokia branded feature phones until 2024, but now FIH Mobile Limited, a subsidiary of Foxconn has also agreed to acquire that trademark license from Microsoft. We hope to see Nokia branded smartphones, feature phones, and tablets returning to its old glory.
FIH will be into manufacturing while HMD looks after sales, marketing and distribution of the Nokia branded devices. Nokia N1 tablet, which was launched after the Microsoft deal was also manufactured by Foxconn. Just like sharing patents, Nokia will be sharing its brand name and in return, they get royalties for the every handset sold under their brand name.
There is no time span mentioned when the device will be available in the market. Since the documentation work is said to be finished in the second half of 2016, we need to wait until the end of this year to see any Nokia phones. The global license of brand Nokia for HMD Global will be excluding Japan. Though we don’t any information about that, we will update once we hear back from the company.