Google may acquire Nokia's in-flight broadband system
Google is reportedly in talks to buy Nokia's airplane broadband business as it looks to explore new services by offering in-flight high-speed internet. With this deal, Google can leverage Nokia's airborne internet system to provide faster Wi-Fi service on airplanes, Bloomberg's report added. Here's are the details.
About Nokia's Technology
According to Nokia, its LTE A2G cellular-based system establishes a direct link between the airplane and the ground rather than using a satellite. The Finnish company says this connection helps in offering high-speed internet services in-flight.
An agreement may be reached soon. Or may be not.
The talks are in progress and an agreement may be reached soon, Bloomberg reported with inputs from people familiar with the matter. However, a final decision hasn't been made and the companies could still decide against a deal. Moreover, representatives from Alphabet and Nokia declined to comment on this matter.
This could be a favorable deal for both the companies
For Nokia, which is currently being valued at over $31 billion, this deal can help it in expanding its product portfolio. Notably, Nokia has been facing a slowdown for quite a few years now. For Google, strong internet is key to all of its services, especially YouTube and the ads which garner the tech company nearly 90% of its aggregate revenue.
