Nokia shuts out Android with Microsoft deal

Nokia has announced a range of strategic and structural changes, including the adoption of Windows Phone 7 software, in a bid to retain its hold on the mobile market and increase its reach into the smartphone business.

The firm will announce its plans in detail at an event in London today at 10am, but has provided some information to journalists in advance.

The list includes details of a range of structural changes, as well as a hotly tipped tie up with Microsoft that will see Windows Phone 7 become the primary operating system on its handsets.

Nokia will now focus its investments on next-generation disruptive technologies, the firm explained, and will look to build devices that appeal to the "next billion" unconnected but potential phone users in developing markets.

Nokia expects that the changes will help propel the company forward, and said that it had a distinct focus on speed, results and accountability.

The plans appear to be mutually beneficial to Microsoft and Nokia, and the latter said that using Windows phone on its smartphones will drive the platform forward through its work on hardware optimisation and software customisation, as well as its support and scale.

Microsoft will provide developer tools to boost the ecosystem around its Windows Phone 7, the firm added, and help increase the scale of Nokia's Ovi application store.

This is not the end of Nokia's current operating systems, and the company expects to keep selling Symbian-based devices, talking of some 150 million new sales.

The Meego platform will become open source, and Nokia expects to ship a smartphone running the operating system later this year.

Management and structural changes were also announced, and the group executive board has been replaced with the Nokia Leadership Team, led by chief executive Stephen Elop.

Alberto Torres, Nokia's vice president, has stepped down and will leave the company.