Finnish handset maker Nokia today said it is consolidating its business to focus on handset business and will exit from mobile money service as it does not form core of handset business.
"Globally we are consolidating our business around mobile handsets. We are exiting the Mobile Financial Services business as it does not form core part of our handset and mobile experiences business," a Nokia India spokesperson told PTI.
For Nokia, mobile handset, internet and information-based experiences namely Life Tools, Nokia Music, Nokia Maps, Email etc., form core business.
The spokesperson clarified that the company will continue to focus on Life Tools and Nokia Music service as these are key to promote its handset business.
Nokia, in response to a query, said that it's exploring option to exit Mobile Financial Services business.
"As a result of Nokia's evolving strategy and the business environment, we are exploring options for a structured exit from the Mobile Financial Services business at Nokia, including our own-branded Nokia Money services," the company said.
Nokia statement added that its financial services will continue to operate whilst it work with its banking, market and technology partners as well as employees, agents and others to plan future options in accordance with customers and regulatory requirements.
The company offers Nokia Money Service, which enables customers to pay their phone bills, buy recharge coupons, pay utility bills and top up the balance in their Nokia Money accounts.
In India, Nokia also offers financial services on mobile in partnership with Yes Bank and Union Bank of India (UBI), viz. Mobile Money Services powered by Yes Bank and Union Bank Money, respectively. Using these services, users can even transfer money into bank accounts.
Nokia has combined user base of around 1 million for these financial services in the country.
The Nokia spokesperson said that the company is about to start regulatory process to surrender its licence to the Reserve Bank of India for Nokia Money Service.
These money services will be in place for sometime but it is Yes Bank and UBI that will have to decide on the services that they providing using Nokia platform, he added.