Nokia completes Scalado purchase to boost Lumia technology

Firm acquires developers and intellectual property for undisclosed sum

Nokia has completed its purchase of Scalado, accruing 50 of the technology vendor's developers and ownership of its intellectual property.

The terms of the deal, including how much Nokia spent, remain vague and at the time of publishing Nokia had not responded to V3's request for comment.

The Finnish phone maker already uses a number of Scalado technologies in its Lumia range of smartphones. The technology chiefly relates to the Lumia handsets' screens.

Nokia executive vice president, Jo Harlow, said bringing the firm's talents in-house would help the firm further improve the firm's Lumia devices.

"We believe that this acquisition will strengthen Nokia's leading position in mobile imaging and provide us with a great opportunity to create even better imaging products and applications," she said.

The news comes just after Nokia confirmed yet another disastrous financial quarter, posting a loss of €826m on 19 July.

Analysts and investors had expected the second quarter figures to be poor after a pre-earnings warning and the announcement that another 10,000 jobs would be shed back in June.

Despite the loss the company did report seeing an increase in Lumia handset sales revealing shipments of Lumia devices had hit four million in the quarter - double that of the last quarter.

Chief executive Stephen Elop cited the increase in Lumia sales as a key growth area that will allow the company to reverse its ailing fortunes come the release of Windows Phone 8 later in the year.

"We shipped four million Lumia Smartphones in Q2, and we plan to provide updates to current Lumia products over time, well beyond the launch of Windows Phone 8," he said.

"We believe the Windows Phone 8 launch will be an important catalyst for Lumia."