Nokia's Lumia 925 was recently unveiled
Microsoft reportedly held talks with Nokia in London over a potential takeover recently, but a deal could not be agreed according to the Wall Street Journal.
The business bible claimed representatives from the two tech giants met in the capital as recently as this month to discuss the possibility of Microsoft buying out the long-suffering former king of mobile devices.
However, despite talks being at an 'advanced' stage, according to the paper, a deal could not be made and it's now unlikely that talks will continue.
The WSJ said the deal could have created a significant tax loss for Microsoft as the purchase would have been funded by its assets outside of the United States.
Nokia and Microsoft have been bedfellows for a couple of years now, since the manufacturer decided to bet the farm on the success of the Windows Phone operating system and forsake all other platforms.
Together the pair have managed to create a series of impressive Lumia-branded devices, but widespread critical acclaim hasn't resulted in the sales figures either would have hoped for.
Nokia has been hanging on by a thread for quite some time, given its decline in market share around the world and slow sales of its new range.
Had a deal been struck it would have given Microsoft complete control over a smartphone manufacturer and may have helped its mission to reel in the dominant Android and iOS platforms.
The takeover has been rumoured for a couple of years now, so we wouldn't be surprised a return to the negotiating table at some point, but for now it looks like a non-starter.
Via The Verge
