The company purchased the rights to use the brand for the next 10 years
Now that Nokia's Devices and Services division is part of Microsoft, some may think that the next devices launched by Microsoft Mobile will be renamed and that the Redmond-based company will drop the Nokia branding from its phones.Well, those who think this way can't be more wrong. As part of the acquisition, Nokia agreed to let Microsoft use its brand for the next 10 years. Basically, the Redmond company purchased the rights to put the Nokia branding on all the smartphones it launches for the next 10 years or so.
Now that might not mean anything for a giant like Microsoft, to buy something and then never use it, but Nokia is a much better brand in the smartphone business now. Dropping the Nokia designation in favor of a new name would probably be a mistake for Microsoft.
And Microsoft seems to think the same. Following the official statement that sealed the deal between the two companies, many Nokia fans complained that they would never see their favorite brand's logo etched on another phone.
Even though ex-Nokia CEO Stephen Elop confirmed that Microsoft would continue to support not only Lumia and Asha smartphones, but also the X family and feature phones, fans were still reluctant on the possibility of Microsoft launching its own Nokia-branded handset.
“We are committed to continuing our support for feature phones, the Asha family, and the Nokia X family of devices, announced at the Mobile World Congress in February,” said Elop.
For all those who needed confirmation that they will indeed see another Nokia-branded smartphone even after Microsoft bought the entire mobile division, here is how Nokia replied to a few worried fans on its official Twitter account: “We’ll continue with Nokia-branded products, as Microsoft has licensed the Nokia brand for some time.”
It is also worth mentioning that the short statement not only applies to Lumia handsets, but also to the Asha and X family of devices.
That's certainly a smart thing and will definitely help Microsoft's mobile platform gain more market share in regions where Nokia is valued higher than the Windows Phone operating system. So there you have it folks, Microsoft will continue to use Nokia's brand on Lumia, Asha, and X family of devices for at least 10 years from now.
[UPDATE]: As many of you probably know, during an AMA (Ask-Me-Anything) session, Stephen Elop made some clarifications regarding the use of Nokia brand for Microsoft's devices.
According to Elop, Nokia brand will be used for mobile phones for a long time (possibly 10 years), but not for smartphones. This means that while there's still a chance that the next few Lumia smartphones will be launched under the Nokia branding, we have been told that "work is underway to select the go forward smartphone brand."
We will keep you updated with the latest news on Microsoft's decision regarding its new branding for smartphones. Stay tuned.