Microsoft and Nokia signed a definitive agreement that seals the deal announced in February between the two companies, creating a formidable competitor against Google‘s Android and Apple‘s iOS.

 

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Now, Nokia can migrate away from its aging Symbian operating system, embracing the Windows Phone software to create a new ecosystem of Nokia hardware and Microsoft software. The companies announced that Nokia-built Windows Phones are already in development, “with the aim of securing volume device shipments in 2012.”

While Nokia engineers are busying themselves creating hardware for the Windows Phone, Microsoft gains the power of Nokia’s mapping and navigation platform, certain to enhance Microsoft’s Bing search engine. Those mapping services will also show up on Nokia phones running Windows Phone, but there was no word about whether those mapping services would also run on Windows Phone handsets not made by Nokia.

What about developers? The companies plan to ease the transition for Symbian developers to move to the Windows phone operating system. According to a Nokia spokesperson (see video below), “All Symbian developers will have a free registration for the next year for the Windows developers program.”

Nokia will also reportedly open a Nokia-branded app store based on the Windows Marketplace infrastructure, where developers will be able to distribute their apps for Windows Phone, Symbian or Series 40 devices.

In our view, this looks like a mutually beneficial relationship, where Microsoft will have a formidable hardware manufacturer and map platform in its camp, while Nokia will gain Microsoft’s resources, including gaming expertise, Windows Phone, Bing search facilities on every smartphone and Microsoft’s vast marketing machine.

Which company do you think got the better end of the deal here?