Microsoft-Nokia phone business deal to close Friday

By Kyle Johnson,

Microsoft's purchase of Nokia's phone business will finally come to a close on Friday, April 25 after a long delay.

Microsoft agreed to purchase the handset business back in September of last year, but regulatory issues delayed the closing of the $7 billion acquisition until now, reports PC World.

Brad Smith, Microsoft's general counsel, said that more agreements were made between the two companies, with one weird addition being that the tech giant will run Nokia's website and social media for a year.

Nokia's CEO Stephen Elop will also move back to Microsoft where he will head their hardware division. About 32,000 other Nokia employees will also now become Microsoft's.

According to The Wall Street Journal, the regulatory delays originated in several Asian countries, but it appears to be cleared up now as Chinese regulators gave their OK. Nokia said in a statement that the purchase is "now subject only to certain customary closing conditions."

The deal is beneficial for both sides as Microsoft looks to continue to increase its handhold in the mobile phone industry and Nokia can step away from a struggling division.

Though Microsoft will be purchasing the handset business from Nokia, the Redmond-based company will not be taking one 200-employee Masan, South Korea manufacturing facility "due to excess capacity," according to a Nokia spokesperson.

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