Nokia to opt between a sale or shut-down for its digital health unit
Date: 2018-02-16   Author: Dhananjay Punekar  Category: #news

Nokia to opt between a sale or shut-down for its digital health unit

In a major turn of events witnessed across the digital health industry, Nokia has declared to have begun evaluating various alternatives for its online health activities. The firm’s decision apparently comes as a surprise to its partners, having arrived in lesser than a couple of years - as of June 2016, Nokia had paid USD 192 million to purchase Withings, a French consumer electronics firm, for entering a new business portfolio of the digital health business. Back then, Withings was reputed for bringing innovation in connected healthcare devices, such as blood-pressure monitor, smart sleep systems, and automatic activity tracking watches.

Withings reportedly became a part of Nokia Technologies - a kind of the startup division of Nokia Corporation. Company sources claimed that Nokia Technologies was assigned 30,000 patents of the firm helping it to produce USD 800 million for each unit every year. Nokia’s decision to wind up its digital health business thus, could jeopardize the jobs of nearly 800 engineers working in the Nokia Technologies.  

Reliable sources cite that in the last quarter of 2017, Nokia had closed its OZO virtual-reality headset business and was thinking of laying off 28% of its workforce. Key officials of the firm state that instead of continuing its virtual reality business, the firm plans to focus more on digital health, while leaving the patent-licensing segment of its digital health business intact.

According to Reuters, last year Nokia had written down USD 164 million of goodwill on its digital health business for which it paid EUR 170 million euros.  Apparently, the decision will set the value of its Withings acquisition to null. Though the key officials of Nokia Corporation had stated that the write down decision will not hamper the digital health business, speculations were rife that the firm may shut down its digital health business operations.



About Author


Dhananjay Punekar

Dhananjay Punekar

Dhananjay currently works as a content writer at AlgosOnline. A post graduate in mathematics as well as business administration, he worked as a process executive in Infosys BPO Limited before switching his professional genre. Following his childhood passion, he opted fo...

Read More

More from Dhananjay


Post Recommendents

UV adhesives market to register itself in the billion-dollar business space by 2024
Author: Rahul Varpe

The expanding manufacturing sector can be officially credited as being a major trigger for UV adhesives market growth, subject to the demand for strong bond strength and rapid curing time in manufacturing procedures. UV adhesives are known to cure...


Image Guided Surgery Devices Market Global Outlook on Key Growth Trends, Factors
Author: Partha Ray

The qualitative research study conducted by Market Study Report on Global Image Guided Surgery Devices Market Report provides primary Data, surveys, Scope of the Product and vendor briefings. The market dynamic forces have been determined after co...


Hyperscale Data Centers Market Analysis & Technological Innovation by Leading Key Players
Author: Partha Ray

Market Study Report: The Report 2018-2023 Global Hyperscale Data Centers Market Report explores the essential factors of the Hyperscale Data Centers market considering such as industry situations, market demands, market players adopted business st...