Huawei considers Nokia buyout
Huawei is considering buying Nokia to boost its market share in smartphones.
The company’s head of consumer business, Richard Yu, told the Financial Times that it was “open-minded” about a deal with Nokia.
“We are considering these sorts of acquisitions; maybe the combination has some synergies but depends on the willingness of Nokia. We are open-minded,” said Yu.
But the company’s vice president for external affairs, Bill Plummber, subsequently said the company had “no plans to acquire Nokia”.
Nokia declined to comment, but saw its shares rise on speculation around the deal.
Whether Huawei could even afford a takeover of Nokia is questionable – the company is still worth more than $14 billion, despite the recent turbulence.
Huawei hasn’t made any major acquisitions to date, though it is rising up the smartphone ranks to become the third biggest manufacturer behind Samsung and Apple, according to IDC.
The company has specialised in Android-based feature phones, but a deal with Nokia could give it a stronger foothold in Western markets.
“I don’t want to ship feature phones any more,” Yu told the Financial Times. However, he also criticised the “weak” Windows Phone platform and its licence fee.
The firm has just launched its high-end Ascend P6 in Europe, currently the thinnest smartphone on the market.