Microsoft had no choice. After years of getting trounced in the mobile market by rival tech titans Apple and Google, the Redmond, Wash.-based software giant needed to make a bold move if it wanted to mount a serious smart phone challenge. Microsoft’s $7.2 billion deal to buy Nokia’s mobile phone business and license its patents is certainly an aggressive move — one that signals a new direction for the software giant — but given Apple and Google’s dominance of the smart phone market, Microsoft’s Nokia gambit may be too little, too late.
In many ways, Microsoft’s purchase of Nokia represents a tacit acknowledgement of failure. Despite pouring billions of dollars into mobile software and gadgets like the ill-fated Surface tablet device, Microsoft has not been able to find a formula to successfully compete with Cupertino and Mountain View. The deal is also a belated acknowledgment of the market’s structural shift away from desktop computing and toward Internet-enabled mobile devices.
Read more: http://business.time.com/2013/09/04/...#ixzz2dxavb3wQ