Microsoft has announced that it’s selling its feature phone business to Taiwanese manufacturing company Foxxconn for $350 million.
Following Microsoft’s purchase of Nokia’s entire mobile division, it seems the company would rather focus on Windows 10 and the Lumia smartphone brand than smaller, more affordable feature phones.
In the deal, Microsoft will be handing over all of the assets relating to its Nokia-branded feature phones, “including brands, software and services, care network and other assets, customer contracts, and critical supply agreements.”
Foxconn will then be taking on the business including 4,500 employees. The deal is expected to close in the second half of this year.
Microsoft initially purchased Nokia’s entire phone division three years ago for $7.1 billion which saw over 30,000 employees join Microsoft. As part of the deal Nokia was not allowed to manufacture any handsets themselves until 2016, though they did license out the names to various companies for their own devices.
Since Microsoft’s takeover things haven’t really gone well for the company, so hopefully them shipping off the feature phone division will allow them to focus solely on new smartphones.