updated: 08-10-2020 | 09:14
Market analyst CCS Insights has made a striking prediction in a recent research report. According to Forbes, the research firm writes that it expects Nokia to be bought by a 'large American technology company' in 2021.
Recently Nokia signed a deal with the largest telecom provider in the United Kingdom, British Telecom. According to CCS Insights this caught the attention of large corporations across the Atlantic.
Microsoft and Intel are supposedly in the market
Both Microsoft and Intel are mentioned as potential buyers. In the past Nokia already sold parts of its company to Microsoft. The Nokia smartphone division was sold to Microsoft and phones were rebranded as Windows Phones. CCS Insights' CEO, Kester Mann, thinks Nokia is somewhat susceptible to a takeover. Microsoft has shown significant interest in the telecom sector, as evidenced by the acquisition of Metaswitch and Affirmed Networks. 5G would be an important factor in this.
Nokia as a pawn in the battle with China's Huawei
With 5G and telco software services on the rise, Nokia is becoming an interesting company for investors and even countries, The US administration suggested numerous times that Nokia could be a target of acquisition, investment or government help to assist the Finns in the networks battle with China’s Huawei.
Should the EU act?
The big question is: should Finland and the EU fight off every attempt of a non-EU entity trying to gain control over Nokia? Currently, Ericsson and Nokia control half of the network infrastructure market. if the EU wants to be serious global player should they allow Non-EU foreign acquisition of Nokia?