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Nokia finalises acquisition of mobile imaging company Scalado

Nokia has finalised its purchase of Swedish imaging software company Scalado, it has announced.

The acquisition, which comes at an odd time for the cash-strapped phone manufacturer, is a full-on buyout of Scalado’s staff, technologies, and intellectual property portfolio.

Financial terms of the deal have not been disclosed, but Nokia said in June that taking over Scalado would help the company to step up its smartphone camera offerings, following disappointing sales of its Lumia line of handsets.

Around one billion mobile devices use Scalado’s image technology, which focuses on the wireless and mobile device industry.

Scalado staff hired through the acquisition will be based in Lund, Sweden and focus on software development, while Nokia’s Espoo-based imaging team will stick to the hardware side of things. The company has thus far not been more specific than that.

“We think that imaging is about to go through another major revolution,” Nokia vice president of software program management Samuli Hanninen said in the blog post.

“One example is the way phones can enrich photos with contextual data. It can know the who, what, where and when behind every picture and use that intelligently,” he added.

Hanninen’s comments suggest new developments in Nokia’s smartphone camera offerings are likely to be integrated with its new emphasis on location-based services to capitalise on said contextual data. The company’s “aim is to become the ‘Where?” company,” Nokia CEO Stephen Elop said last week.

As for Scalado, it will reportedly continue to license its products to mobile device manufacturers, including RIM, which will use its composite photo system in its forthcoming BlackBerry 10 platform.

"Scalado will continue to exist," the company said in a statement. "All present customer agreements and obligations will remain with Scalado.”

Nokia is due to release a new line of handsets optimised for Windows Phone 8 before the year, so perhaps more details about Scalado’s role at Nokia will be revealed in the coming months.