RTE 5 October 2018 05:01:31 The Nokia-owned Motorola Solutions has signed a deal to acquire Motorola Mobility’s automotive engineering division for $4.1 billion.
The transaction is expected to close by the end of the year.
It follows a takeover by Nokia in late 2017, which saw Motorola Solutions take on its entire automotive engineering business.
Nokia also sold its telecoms arm to T-Mobile last year.
Nokia is one of the world’s biggest car makers and the company has been pushing to expand its range of devices to the wider market.
It was a significant acquisition for the handset maker, as the division had been struggling to gain traction.
The Nokia deal is the largest acquisition in the global mobile phone industry, with a combined total value of around $11 billion.
Nokia and Motorola Mobility will share some of the technology underpinning Nokia’s devices, but the two companies will be developing a new type of mobile network that will enable more mobility.
“The Nokia brand and the mobile experience have been at the core of our business since the Nokia phone first came to market, and we’re excited to be part of the Nokia family,” said John Chen, president and CEO of Motorola Mobility.
“Motorola Mobility has a long history of developing innovative technology that helps our customers get more out of their smartphones.
We look forward to continuing to support Nokia and our partners with innovations and innovations that will benefit our customers.”
Nokia has been looking for a buyer for the mobile phone business for a while, as it was facing increasing competition from Chinese smartphone makers.
In 2016, Nokia announced it would sell its automotive technology division to China’s Qihoo 360 Mobile, but it later scrapped the deal.
Nokia was one of several handset makers to leave China, with Apple also selling its mobile devices business to Lenovo.
The acquisition is expected bring Nokia’s smartphone business in line with Apple’s.
The move follows Nokia’s purchase of Motorola’s automotive technology business in 2016, which had been valued at around $7.5 billion.