Software major Microsoft will sell its feature phone assets to Foxconn Technology Group, and HMD Global for $350 million.
As part of the deal, FIH Mobile will also acquire Microsoft Mobile Vietnam — the company’s Hanoi, Vietnam, manufacturing facility. Approximately 4,500 employees can join FIH Mobile or HMD Global, subject to compliance with local law.
Microsoft will continue to develop Windows 10 Mobile and support Lumia phones such as the Lumia 650, Lumia 950 and Lumia 950 XL, and phones from OEM partners like Acer, Alcatel, HP, Trinity and VAIO.
Microsoft will transfer feature phone assets, including brands, software and services, care network and other assets, customer contracts, and supply agreements.
In a separate agreement, HMD Global, a company based in Finland, signed an agreement with Nokia Technologies to use Nokia brand and other rights to introduce smartphone sand tablets.