Nokia Corp. to acquire digital music distributor Loudeye Corp.

Nokia Corp. to acquire digital music distributor Loudeye Corp.

World’s largest mobile phone maker Nokia has said that they are acquiring US based digital music distributor Loudeye Corp.

The deal is worth around $60 million and would help Nokia in their goal to grab a larger share of the growing digital mobile music market.

The deal would see Nokia paying around $4.50 for each share of Loudeye, which provide digital music platforms and digital media distribution services.

The company said in a statement on this deal: “By acquiring Loudeye, Nokia can offer consumers a comprehensive mobile music experience, including devices, applications and the ability to purchase digital music.”

Market analysts believe that such a move would help Nokia take on growing competition from rivals Sony Ericsson, which are regularly releasing new Walkman branded mobile phones. Sony has their own digital music service and could potentially challenge Nokia in this market.

This deal could potentially see Nokia providing a digital music service to its customers around the world sometime by next year. Loudeye has operations in around 20 countries around the world.