Nokia Buys Navteq for $8.1 Billion

FORMER maker of Wellington boots and exclusive rubber wear, Nokia has just paid $8.1 billion for Navteq, the maker of digital mapping and navigational software.

According to Associated Press, the move will help Nokia fight off Apple and Google.

There were fears that Nokia might have paid a bit too much for the software outfit which only earned $582 million in sales in 2006.

However analysts stroked their beards and agreed it was probably a wise decision.

In a press release, Nokia’s president and chief executive, Olli-Pekka Kallasvuo, said that location-based services were a cornerstone of Nokia’s Internet services strategy, which is part of an overall plan to expand beyond the production of cellphones into user services like photos, video, music and games.

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