14 DAY TRIAL // Nokia has just announced that it will buy NAVTEQ, a leading provider of digital map information for mobile navigation devices and Internet-based mapping applications. This comes as a natural step in the handset producer's strategy of making GPS a standard feature in its devices.
It's been so long since Nokia last said anything about its work for including GPS in as many of its products as possible. This plan was announced some while ago, but few from the mobile phones to follow it had this technology included. Things might change, as the handset producer has made an important investment for making it happen.
The Nokia Maps solution is one of the most advanced location based services at this time. It is currently available on the Nokia N95 smartphone, with high chances of being even more deployed in the future. NAVTEQ will continue the work that it has started, by providing the most advanced and flexible map data platform. Nokia will benefit from this acquisition by strengthening its location based services offer.
"Location based services are one of the cornerstones of Nokia's Internet services strategy. The acquisition of NAVTEQ is another step toward Nokia becoming a leading player in this space", said Olli-Pekka Kallasvuo, President and CEO, Nokia. Moreover, "By joining forces with NAVTEQ, we will be able to bring context and geographical information to a number of our Internet services with accelerated time to market. We also look forward to maintaining and enhancing the services and support provided to NAVTEQ's existing and future customers", he further added.
According to the closed agreement, Nokia will pay each share of NAVTEQ, including outstanding options for an aggregate purchase price of approximately USD 8 billion of NAVTEQ existing cash balance. The acquisition will reach its final steps towards the first quarter of 2008.