Whenever you hear the word 'Nokia' , its logo with 'connecting people'
pops out your mind. It's really hard to believe that the company which
has established a solid market failed to proceed understanding the next
generation mobile requirements. The hardware systems of nokia buffeted
the other smartphones but failed to capitalise in software design leading
to antipathy.
So why would Microsoft spend £4.6bn on a business that has lost its
considerable market space?
Nokia devices despite of its industrial design, distribution or supply
chain, lack an app ecosytem . So Nokia was considering going to Android
or maybe even going out of business due to bankruptcy. Windows phone
already been abandoned by other equipment manufacturers, had Nokia
abandoned Windows Phone (by either going with Android or going out of
business) , then that would be the end for Windows Phone.
The acquisition solves Nokia's problem. Indeed a tactical move by
Microsoft.
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Source: http://geeknfreak.in/2013/9/04/Nokia-:-The-reason-behind-the-fall.php