Nokia completes Scalado buy; hires staff, bolsters IP
Nokia said it has completed the acquisition of all developers, technologies and intellectual property from imaging company Scalado.
In mid-June, Nokia chief executive Stephen Elop said Nokia would double down on its Lumia products and set focus on location-based services. Its bid to acquire Scalado puts Nokia in a good position to take on the rivals in the imaging space with Nokia's Lumia smartphones -- which have at least in the U.S. failed to gain sales momentum.
Financial details were not disclosed, but noted the secrecy seal will likely break once Scalado's products "emerge into products".
Scalado offers mobile imaging technology used in more than 1 billion mobile devices, the company says. By acqui-hiring the staff, it can bring on the developers to work on the technology that Scalado built, and keep future production in-house and away from competitors.
Nokia is investing in consumer-focused features to claw back its once-proud competitive edge. But the Finland-based phone maker is also pitching to the camera phone market. Despite a lengthy post on Nokia's Conversations blog, the company remains just as vague as it was in its financial terms of the deal over what's coming next.
From an intellectual property point of view, it will add more weight to Nokia's case in an ongoing spat over patents and technologies.
"Scalado will continue to exist," the firm said in a statement. "All present customer agreements and obligations will remain with Scalado". The main task of Scalado AB will be to continue to work with our customers honoring our delivery and support obligations and fulfill any and all obligations in relation to its existing customers."
"Though the latest and greatest camera phones might seem like they’re perfect, we really have only just begun. It’s hard to imagine what the next generation of Nokia camera phones might be capable of," said Samuli Hanninen, Nokia vice-president of software program management.
The buyout bid, subject to customary closing conditions, is expected to close during Q3 2012.