NOK and MSFT!
I am surprised there is not yet a CAPS blog about this. I examined both of these companies in my last April blog. Today there was big news about Microsoft buying the phone business and patents from Nokia.
I think this is a great deal for Microsoft, since Nokia is an innovative company - and its Lumia phones are quite competitive with ideas coming from Android-land and Apple. Lumia's are now known for super high quality camera's and Zeiss lens. The 920/925/928s and 1020's also are known for their solid mechanical builds and weight.
Altogether, both Nokia and Microsoft needed each other and became co-dependent. Nokia exclusively linked its phones to Microsoft after failing to build Symbian into something competitive. The other option would have been to join into the fray with Android and try to stand out among the croud. Since Samsung owns this market, that would have been quite risky.
Microsoft really needed some vendor to make W8 phones that consumers would actually want to get and discuss before their releases. Nokia provides that for MSFT. However, Nokia was repeated frustrated that certain aspects of W8 were not being as developed as they felt necessary. The new integration of MSFT and NOK phones could lead to really software/hardware synergies. Right now there is no other company that both makes the phone OS and phone hardware besides Apple. MSFT made a bold decision and hopefully this is a sign of things to come. I pray that Nokia's phones remain innovative under Microsoft and are not negatively impacted by the new management.
I am tempted now to switch from owning NOK to MSFT shares. Also, INTC is now also an attractive investment, if Intel Haswell chips run the next generation of W8 tablets.