m&a - microsoft and nokia deal

M&A (Refresher)Microsoft - Nokia Deal

SML -829 ; Mergers & Acquistion CourseDMS , IIT Delhi Group no-1 Pawandeep Singh Maniktala | Mayank Lau

Nokia CEO Stephen Elop (left) and Microsoft CEO Steve Balmer shake hands at the announcement of Microsoft’s Acquisition of Nokia for $7.2 billion

M&A - Microsoft - Nokia Deal

Industry View :

● Nokia was one of many cell phone manufacturers that struggled

● Apple‘s iOS and Google ‘s Android gained dominance of the smartphone market and displaced cellphones and other smartphones.

M&A - Microsoft - Nokia DealWhat does it mean for Microsoft? 1. How Soft Co. planned to generate profits from cellphone maker that was

bleeding money2. Nokia’s bleeding money costs Microsoft 8 cents from EPS earnings per

share first quarter 3. Microsoft expects Nokia to break even by 2016.

Action Plan : 4. Devices would focus on high and low cost Windows smartphones 5. 2 BU smart devices /mobile phones would become one, cutting overlap and

overhead. 6. To Reduce engineering in Beijing & San Diego and unwind engineering in

Oulu, Finland.7. To Shift manufacturing to lower cost areas like Manaus, Brazil and Reynosa,

Mexico; and reduce manufacturing in Beijing and Dongguan, China.

M&A - Microsoft - Nokia Deal● Microsoft acquires Nokia’s phone Business

● Microsoft acquired Nokia’s Qualcomm, other Key IP licenses

● Microsoft licenses Nokia’s patents for use across all Microsoft products

● Nokia retains NSN , HERE , its CTO office and its patent portfolio

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

M&A - Microsoft - Nokia Deal

Thank You

pawandeep@gmail.com