Sony has bought Ericsson out of its stake in the shared Sony Ericsson mobile handset business, in a deal worth over NZ$1.8 billion.
The business will become a wholly owned subsidiary of Sony, adding to the company’s consumer device range which already includes televisions, tablets and personal computers.
A release from the company states that the transaction also provides Sony with ‘a broad Intellectual Property (IP) cross-licensing agreement covering all products and services of Sony, as well as ownership of five essential patent families relating to wireless handset technology’.
Sony’s chairman, CEO and president, Howard Stringer, says in the statement, "This acquisition makes sense for Sony and Ericsson, and it will make the difference for consumers, who want to connect with content wherever they are, whenever they want.
"With a vibrant smartphone business and by gaining access to important strategic IP, notably a broad cross-license agreement, our four-screen strategy is in place.”
The transaction will close in January 2012, subject to regulatory approvals.