Nokia Teams With Microsoft To Take On Apple And Google

Nokia, the world's largest mobile phone maker, has teamed up with Microsoft to restore its fortunes and take on Apple and Google in the smartphone market.

Announced in London, the partnership will see Nokia and Microsoft working together to develop a range of Windows Phone 7-based devices.

In an open letter, Nokia CEO Stephen Elop and Microsoft CEO Steve Ballmer said that the deal will see Nokia adopting Windows Phone 7 as its primary smartphone operating system (OS), launching devices for all price points, markets and geographies.

Individually, both companies have a lot of ground to make up if they are to compete with Apple and Google - Nokia past insistence on using the Symbian OS has seen it lose market share to its rivals and Microsoft's new OS needs a wider audience to gain recognition. But together, Nokia's smartphones can run a new, more competitive OS, and Microsoft can benefit from Nokia's established market share to boost the presence of Windows Phone 7.

“The partnership increases our scale, which will result in significant benefits for consumers, developers, mobile operators and businesses around the world. We both are incredibly excited about the journey we are on together,” the CEOs said.