Investors unimpressed with Nokia-Microsoft tie-up

Nokia and Microsoft have teamed up in an attempt to see off Apple’s iPhone and Google based phones in the fast-growing smartphone market.

Nokia’s new chief executive Stephen Elop – who used to work at Microsoft – believes using Windows Phone software in its smartphones will speed up new product launches.

But shares in the world’s largest mobile phone maker fell sharply as investors fear the transition will hit profits.

Nokia has rapidly lost market share in smartphones which sell for more and make bigger profits.

Apple’s iPhone has sharply cut into Nokia’s dominance as well as products based on Google’s popular Android platform from smaller competitors like Taiwan’s HTC and Motorola.

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