Nokia’s gloomy prognosis for its future in the healthcare sector has been confirmed with the news that it is selling its Digital Health unit.
The Finland-based vendor is set to offload the unit to to Éric Carreel, co-founder and former chairman of Withings – the company Nokia acquired for €170 million two years ago.
The two parties have entered into exclusive talks over a deal, financial details of which were not disclosed, and hope to conclude a deal before the summer.
Nokia’s Digital Health unit sells a portfolio of consumer and enterprise products, including smart watches, scales and digital health devices.
It is part of Nokia Technologies, which saw revenues jump 57 percent to €1.65 billion last year.
After buying Withings in 2016, Nokia ditched the French company’s name and expanded the range of devices and services it offered last year.
However, in an abrupt about turn it said it was assessing strategic options for the unit in February this year.
“The planned sale is part of Nokia's honed focus on becoming a business-to-business and licensing company,” Nokia said in a statement this morning (2 May).
The licensing businesses of Nokia Technologies are not affected by this announcement, it added.