HMD global Oy has signed a strategic licensing agreement with Nokia Technologies, the advanced technology and licensing unit of Nokia Corporation, giving HMD sole use of the Nokia brand on mobile phones and tablets worldwide for the next decade, and cellular standard essential patent licenses, the company said.
Nokia-branded mobile phones and tablets are set to return to the global consumer market, created by a new company, HMD global Oy. HMD has been founded to provide a focused, independent home for a full range of Nokia-branded mobile phones and tablets.
HMD intends to leverage and grow Nokia´s global brand reach, and intends to invest over USD 500 million over the next three years to support the global marketing of Nokia-branded mobile phones and tablets, funded via its investors and profits from the acquired feature phone business.
To complete its portfolio of Nokia branding rights, HMD has conditionally agreed to acquire from Microsoft the rights to use the Nokia trademark on feature phones until 2024, and design rights relating to Microsoft´s feature phone business. This transaction is expected to close in the second half of 2016. Together, these agreements will make HMD the sole global licensee for all types of Nokia-branded mobile phones and tablets.
HMD is a new private venture founded to create a new generation of Nokia-branded mobile devices. HMD will be run by a group of industry leaders, including CEO-designate Arto Nummela, who previously held senior roles at Nokia and is currently the head of Microsoft´s Mobile Devices business for Greater Asia, Middle East and Africa as well as Microsoft´s global feature phones business, and president-designate Florian Seiche, who is currently senior vice president for Europe sales and marketing at Microsoft mobile.
