Nokia wants to unload its digital health division, according to Wareable. The company, which launched a strategic review of the division earlier this year, is reportedly fielding offers to sell the business that includes both hardware and software.
Potential bidders are already taking a look at what’s available. Among those who could submit an offer is Nest, which recently rejoined Google after a few years working separately under Alphabet.
The brand behind various home automation products is interested in Nokia’s portfolio, though it’s unclear if there are specific products standing out or Google just wants more patents. As of today, Nest doesn’t offer anything relating to health and wellness.
The strategic review came just a few months after Nokia announced it would be laying off hundreds of employees. Between the two rounds of layoffs, an estimated 750 employees lost their jobs. While some still have their jobs, those who are affected will be let go throughout the year.
Nokia’s original plan was to invest more in digital health, but the results weren’t satisfactory and thus the company is seeking alternatives to exit the field.
Others in the running, based on a report from Les Echos, include two French companies and one outside of Europe. Their names are not known, but the French government is believed to be pushing the domestic companies to acquire Nokia’s digital health division. The French government has been urging technology companies to invest in artificial intelligence for the future.
Another possibility is that Google invests in one of the French companies interested in acquiring Nokia. The company opened a research and development facility in France, so there’s some speculation a deal could be made where Google and Nest are involved but not in control.
For Google, the plan could be to pivot Nest into a brand that makes more than just home automation products, touching everything from thermostats and scales to cameras and thermometers. With the team already working within Google, it’s likely Nest’s portfolio expands significantly in the near future.