Nokia abandons business mobility

Nokia handsets now have Microsoft ActiveSync

Nokia is dropping its own business mobility solutions to concentrate on providing mobile email services for consumers.

The phone maker announced today that it will cease developing or marketing its behind-the-firewall offerings for business mobility, and has acquired Canadian firm OZ Communications to provide a new focus on consumer mobile messaging.

Nokia's business mobility tools are largely provided by its Intellisync division, acquired three years ago to help provide enterprise customers with wireless email, device management and mobile access to business applications.

Nokia said in a statement that its Intellisync assets will now be utilised in the creation of its consumer-based push email services.

Since that acquisition, Microsoft's ActiveSync for Exchange has become available on a wider range of devices, including Nokia's own handsets.

The company said that future enterprise solutions would be delivered by combining Nokia devices and applications with software from industry-leading enterprise vendors.

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

"The initial success of the Nokia E71 with Microsoft Exchange ActiveSync is a great example of the attractiveness of our new approach."

Nokia said that the acquisition of OZ Communications will enable consumers to access leading instant messaging and email services, including AOL, Gmail, ICQ, Windows Live Messenger and Hotmail.

The acquisition is expected to be completed in the fourth quarter of 2008, subject to shareholder and regulatory approval.