Microsoft has said that it will buy Nokia's Handset business for 5.44 billion euros ($7.2 billion). While the announcement has been made, the deal is expected to be finally closed in the first quarter of 2014, after shareholder and regulatory approvals. Microsoft will acquire all of Nokia’s Devices & Services business, license Nokia’s patents, and license and use Nokia’s mapping services.

According to the formal announcement, “Microsoft will acquire the Asha brand and will license the Nokia brand for use with current Nokia mobile phone products. Nokia will continue to own and manage the Nokia brand. This element provides Microsoft with the opportunity to extend its service offerings to a far wider group around the world while allowing Nokia's mobile phones to serve as an on-ramp to Windows Phone." For Nokia, this is an important moment of reinvention and from a position of financial strength, we can build our next chapter," said Risto Siilasmaa, Chairman of the Nokia Board of Directors and, following today's announcement, Nokia Interim CEO."