Presentation showcases insights and highlights of Merger & Acquisition strategic aspects of Microsoft-Nokia Deal.

1. M&A (Refresher)
Microsoft - Nokia Deal
SML -829 ; Mergers & Acquistion Course
DMS , IIT Delhi
Group no-1 Pawandeep Singh Maniktala | Mayank Lau

2. Nokia CEO Stephen Elop (left) and Microsoft CEO Steve Balmer
shake hands at the announcement of Microsoft’s Acquisition of Nokia for
$7.2 billion

3. M&A - Microsoft - Nokia Deal
Industry View :
● Nokia was one of many cell phone manufacturers that struggled
● Apple‘s iOS and Google ‘s Android gained dominance of the
smartphone market and displaced cellphones and other
smartphones.

4. M&A - Microsoft - Nokia Deal
What does it mean for Microsoft?
1. How Soft Co. planned to generate profits from cellphone maker that was bleeding
money
2. Nokia’s bleeding money costs Microsoft 8 cents from EPS earnings per share first
quarter
3. Microsoft expects Nokia to break even by 2016.
Action Plan :
1. Devices would focus on high and low cost Windows smartphones
2. 2 BU smart devices /mobile phones would become one, cutting overlap and overhead.
3. To Reduce engineering in Beijing & San Diego and unwind engineering in Oulu,
Finland.
4. To Shift manufacturing to lower cost areas like Manaus, Brazil and Reynosa, Mexico;
and reduce manufacturing in Beijing and Dongguan, China.

5. M&A - Microsoft - Nokia Deal
● Microsoft acquires Nokia’s phone Business
● Microsoft acquired Nokia’s Qualcomm, other Key IP licenses
● Microsoft licenses Nokia’s patents for use across all Microsoft products
● Nokia retains NSN , HERE , its CTO office and its patent portfolio

6. M&A - Microsoft - Nokia Deal

7. M&A - Microsoft - Nokia Deal

8. M&A - Microsoft - Nokia Deal

9. M&A - Microsoft - Nokia Deal

10. M&A - Microsoft - Nokia Deal

11. M&A - Microsoft - Nokia Deal

12. M&A - Microsoft - Nokia Deal

13. M&A - Microsoft - Nokia Deal

14. M&A - Microsoft - Nokia Deal

15. M&A - Microsoft - Nokia Deal

16. M&A - Microsoft - Nokia Deal

17. M&A - Microsoft - Nokia Deal

18. Thank You
pawandeep@gmail.com