Nokia has sold HERE Maps to a German automotive consortium for 2.8 billion euros (£1.97 billion), in a move the company is describing as the "next stage of its transformation".
The consortium that has purchased HERE comprises leading automotive manufacturers Audi, BMW and Daimler. HERE has long been a leader in providing real-time, predictive and personalised location services using data generated by devices, vehicles and infrastructure. This is obviously highly valuable in the automotive world, especially as automakers move increasingly towards developing automated driving experiences. "I believe today's announcement is a very good outcome for HERE, its customers and employees. The new ownership structure of HERE will allow us to accelerate our strategy, further scale our business and fulfil our intent to become the leading location cloud company across industries," said HERE president Sean Fernback.
Nokia estimates that following the sale it will be in receipt of net proceeds slightly in excess of 2.5 billion euros (£1.75 billion). Once the transaction is closed Nokia will then consist of two distinct business divisions: Nokia Networks and Nokia Technologies. Nokia Networks will continue to be a provider of broadband infrastructure, but Nokia Technologies is likely to expand and grow significantly.
Nokia Technologies only last week announced its first new piece of hardware in months -- a panoramic virtual reality camera. It's expected that next year the company will come out with a new range of smartphones -- most likely following the closure of its merger with Alcatel-Lucent, which is expected in the first half of 2016.
This article was originally published by WIRED UK
