Nokia HERE To Be Purchased By Consortium Of German Automakers

Nokia HERE purchase

The consortium of Daimler BMW and Volkswagen’s premium division, Audi, have agreed to purchase Nokia HERE for $2.9 billion euros ($3.2 billion).

Nokia has been looking to shed its mapping business for some time and the deal appears to be moving forward according to several people close to the companies involved.

Daimler declined to comment while BMW, Audi, and Nokia have not yet returned requested for comment.

Nokia recently purchased Alcatel-Lucent for $15.6 billion, allowing the company’s to merge while creating the second-largest network-equipment maker.

Nokia HERE’s sale allows the company to shed one of its underperforming business units, while focusing on hardware.

The Finnish company announced a strategic review of its navigation business in April, setting up an auction process between Germany’s premium automakers and tech giants from the United States and China.

Nokia continues to layoff workers in Finland, while restrategizing the core of its business.

By purchasing Nokia HERE, the automakers are given access to their own mapping software, which will likely become integrated with their own proprietary systems.

No further details are available at this time.