Nokia (NYSE:NOK) shares have skyrocketed today following the announcement that the company is selling its handset and services business to Microsoft (NASDAQ:MSFT). However, not everyone is happy with this deal -- Microsoft shares have faltered in the wake of this news, down as much as 6%.
The two companies agreed on a purchase price of $7.2 billion, all in cash. In an added twist, former Microsoft exec Stephen Elop -- who was CEO of Nokia, until this news -- will be rejoining Microsoft. Given that current CEO Steve Ballmer will step down in the next 12 months, Elop's arrival has led to much speculation that he will replace Ballmer as the head of Microsoft.
Motley Fool analyst Jason Moser thinks Elop isn't likely to replace Ballmer. Jason believes this agreement is a solid deal for Nokia, but he doubts this will be a positive move for Microsoft, given the company's history of poor acquisitions.
Erin Kennedy owns shares of Apple. Jason Moser has no position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple, Google, and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.