Nokia to opt between a sale or shut-down for its digital health unit
Date: 2018-02-16   Author: Saipriya Iyer  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


Saipriya Iyer

Saipriya Iyer

Saipriya Iyer currently works as a content developer for AlgosOnline. A computer engineer by profession, she ventured into the field of writing for the love of playing with words. Having had a previous experience of 3 years under her belt, she has dabbled with website...

Read More

More from Saipriya


Post Recommendents

Contact Lens Case Market Size 2026 - Global Industry Sales, Revenue, Price trends and more
Author: Partha Ray

Market Study Report, LLC, has added the latest research on ' Contact Lens Case market', which offers a concise outline of the market valuation, industry size, SWOT analysis, revenue approximation, and the regional outlook of this business ...


Glasses Case Market | Global Industry Analysis, Segments, Top Key Players, Drivers and Trends to 2026
Author: Partha Ray

Market Study Report, LLC, adds a comprehensive research of the ' Glasses Case market' that mentions valuable insights pertaining to market share, profitability graph, market size, SWOT analysis, and regional proliferation of this industry....


Preservation Bag Market Demand & Future Scope Including Top Players
Author: Partha Ray

The ' Preservation Bag market' report, recently added by Market Study Report, LLC, examines the industry in terms of the global expanse, highlighting the present & future growth potential of each region as well as consolidated statisti...