Nokia selling security-hardware unit

By Anne Dujmovic, CNET News.com
Wednesday, October 01, 2008 09:04 AM

Nokia, the world's No. 1 mobile-phone maker, is close to selling its computer-security hardware unit, according to The Wall Street Journal.

The company has been in talks to sell the business to a financial investor, but Nokia has not provided its name.

The company also intends to cease making software for business customers.

In a statement on Monday, the mobile-phone maker said that it would no longer develop or market its own "behind-the-firewall business mobility solutions".

Instead, the company plans to use outside providers, such as Microsoft, IBM and Cisco. The company will "redirect the freed-up resources to a service that pushes e-mail to consumers' cell phones", according to The Wall Street Journal's report.

"We have very strong relationships with industry-leading enterprise-technology partners, such as Cisco and Microsoft, as well as a broad range of operator and retail channel partners," Niklas Savander, executive vice president of services and software at Nokia, said in a statement.

"Together with them, we will use our expertise in devices, as well as the combined channel footprint and customer base, to deliver a range of unbeatable end-to-end offerings for business," Savander said.

The moves will enable Nokia to concentrate on what it calls "the renewal of its business mobility strategy".

Savander, in an interview with Reuters on Monday, said: "We believe that, with a narrower agenda, we can make a bigger impact."

Earlier this month, the company announced plans to expand the number of devices that would be able to access Microsoft corporate e-mail--a move seemingly aimed squarely at rival smartphone maker RIM.

This article was first published as a blog on CNET News.com.


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