Nokia buys into the map business

Global - Nokia will acquire provider of digital map information for navigation systems and internet-based mapping applications Navteq for US$8.1 billion (S$11.9 billion), strengthening its location based services offering.

The acquisition will see Navteq's current map data business continue to operate independently but organisationally will be part of the Nokia Group. Nokia will inherit comprehensive digital map information for automotive navigations systems, mobile navigation devices, internet-based mapping applications, and government and business solutions, as well as traffic.com, a web and interactive service providing traffic information and content to consumers.

"Location based services are one of the cornerstones of Nokia's internet services strategy. The acquisition is another step toward Nokia becoming a leading player in this space," Olli-Pekka Kallasvuo, president and CEO for Nokia said in a statement.

The acquisition is subject to customary closing conditions such as regulatory approvals and Navteq shareholder approval, and is expected to close in the first quarter 2008.