Nokia keeps quiet while flogging off its messaging unit

/ 7 years ago

While this is not breaking news it does say a lot about Nokia’s current state of affairs. Nokia is selling off its messaging business to Synchronica, a British (yes, Britain still does do a few things) developer of mobile messaging software.

The business unit itself provides email and instant messaging services to the likes of AT&T and Verizon (and others) and will be sold for $25 million.

As part of the deal, Synchronica will take over contracts serving 10 mobile operators in North America and obtain source code for Nokia’s client and server software, as well as any patents and patent applications that go with it.

Synchronica have long been looking to get a foothold in the US and it hopes this might be the start. Synchronica will continue to provide the messaging software which Nokia pre-load onto Series 40 phones which is expected to generate a revenue of around $18 million.

Syncrhonica has said it will continue to develop Nokia’s messaging platform – which enables operators to offer their own-branded email and instant messaging services while supporting third-party email and IM clients such as Gmail and MSN Messenger. They will eventually merge Nokia’s with its own mobile messaging technology.

“This acquisition marks a key milestone for Synchronica as we move closer to our goal of becoming the leading global player for next-generation mobile messaging,” said Synchronica CEO Carsten Brinkschulte, in a statement, who commented that the deal will transform his company’s scale, profitability, and geographic scope “at a stroke”.

It looks as if Nokia are trying to streamline its operations in a bid to change its fortunes.

Attached files

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