Tag: here maps

Nokia Bids Farewell to Its Here Maps Unit For $3 Billion

We know that Nokia has been away from the limelight of smartphones and is no longer considered the competition it used to be. Now, another field that they will be stepping away from completely, is the area of maps. Nokia sold its Here unit to the parent company, Daimler that has German carmakers like Mercedes, BMW and Audi, under it.

“High-precision digital maps are a crucial component of the mobility of the future. With the joint acquisition of Here, we want to secure the independence of this central service for all vehicle manufacturers, suppliers and customers in other industries,” said Dieter Zetsche, Chairman of Daimler.

The price that it was sold at was $3 billion dollars and each partner i.e., each of the car companies will own an equal stake in Here maps. The deal is supposed to officially close in the first quarter of 2016.

August 3, 2015
Facebook Includes Nokia HERE Maps on Messenger, Instagram Ahead of Official Buyout

HERE maps, previously known as Ovi Maps or Nokia Maps, is an alternative of Google Maps and Apple Maps service. Nokia was in talks with buyers to sell out its maps unit, but seems like Facebook has inked a deal to power maps on its various platforms.

The social networking site is presently using Here maps on the mobile version of its website, and on other applications like Facebook Messenger and Instagram. The Facebook spokesperson confirmed the same through statement –

We are testing Nokia HERE maps across Facebook to give us more control and flexibility in delivering a consistent maps experience.

Nokia confirmed that it is seeking buyers to sell out its $2 billion Here map. The Finnish tech brand spent $8.1 billion to buy Chicago-based digital map maker, Navteq, in an effort to capitalize its market for mobile search, but the buy-out deemed unprofitable. Hence, in April, Nokia roped in the heavyweights of technology including Apple, Facebook, Amazon, Alibaba Group, etc. to sell its maps business. According to Techcrunch, one of those potential buyers has already sealed a deal with Nokia.

For now, Facebook has not given any details about its availability on iOS.

May 5, 2015
Nokia Denies Comeback to Smartphone Business, Says “Reports are False”

The former leader of consumer smartphone manufacturer Nokia recently made headlines for considering making a comeback in the mobile manufacturing business. The firm heard the recent buzz over Internet and came out to publically announce that the information was false. The report of Nokia planning to return to the mobile business was surfaced by the reliable technology portal Re/Code, which stated that the news was disclosed by a Nokia Networks executive.

The exact statement by the Finnish reads –

Nokia notes recent news reports claiming the company communicated an intention to manufacture consumer handsets out of a R&D facility in China. These reports are false, and include comments incorrectly attributed to a Nokia Networks executive.

Nokia reiterates it currently has no plans to manufacture or sell consumer handsets.

Re/Code claimed that Microsoft-acquired Nokia is planning to bounce back to the smartphone business sometime next year. It also stated that several ambitious projects are in the making, and one among them is a virtual reality device. The company recently launched its first Nokia-branded Android tablet, along with an Android app called Z Launcher.

Nokia was acquired at a whopping price of $7.2 billion last year by hardware and software leader Microsoft. It was learnt that Nokia can’t use its brand name on smartphones till Q4 2016. Since Nokia was launching one or the other products lately, the news didn’t seem unfitting.

A while back, the company disclosed its move of acquiring Alcatel-Lucent for $16.5 billion. The new firm formed is called the Nokia Corporation. The acquisition will give a boost to its patent licensing business and networks division, which makes for 90 percent of the total revenue. The company is in talks with potential buyers to sell its maps business “HERE“.

April 27, 2015
After Selling its Mobile Unit, Nokia is Now Seeking Buyers for its Maps Business

Nokia, the Finnish equipment maker who recently sold its mobile business unit to Microsoft, is reportedly considering selling its maps business HERE. The move reflects its plan to boost the company’s core wireless network unit and push up the shares rating.

According to a report by Bloomberg, the company is in talks with potential buyers such as Uber Technologies and a number of private-equity firms, as stated by people familiar with the matter. The source revealed that some German carmakers have reached Nokia for the same and will bid for its maps service, expected to take place as soon as this month.

As per the source, Nokia has hired a finance adviser to explore the sale of the maps business. The official financial reports suggest that HERE (Nokia’s Map Business) is 2 billion euros ($2.1 billion) worth, while Inderes Equity Research made different estimations about its current price. “We have estimated that HERE’s value is around EUR 3.3-4.8 billion, and in a possible deal the price should be more than that,” stated the research firm on Twitter.

If we evaluate Nokia’s mapping assets with the official report as a base, its value has seen a steep fall since its buyout in 2008, which cost the company a hefty $8.1 billion. The company might drop the plan to sell out its unit if they don’t get a price deemed sufficient.

Nokia’s HERE unit provides data to many tech and e-commerce giants such as Amazon, Microsoft, Yahoo, along with some renowned names in the car manufacturing business. The maps division reported a net sale of 970 million euros and an operating loss of 1.24 billion euros, as per the report. In January, the company made public the Q4 results of its net income and sale, which were 443 million euros and 3.8 billion euros respectively.

Nokia presently holds three divisions; first one is the maps units, the other is research and development that licenses its patents, and the third one is the networks division that makes 90 percent of the total revenue.

Meanwhile, Nokia spokesperson has declined to comment on the report and there is no official word on the news. But it would be interesting to see if Nokia sells out its second major unit and becomes an entity focusing solely on network services.

April 11, 2015