Microsoft is planning to give up its Lumia business and sell Nokia to Foxconn, according to Chinese news website VTech.  

Microsoft completely acquired Nokia's Devices and Services back in April 2014. Under the contract, Windows is given full rights for the Nokia's smartphone unit until 2024. But now, it seems that Microsoft is giving up its Nokia licensing brand to Foxconn.

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The decision was allegedly made because of the surprisingly bleak sales in the first quarter this year, with Microsoft selling only 15 million Lumia units.

Microsoft is said to be planning to cut down the Microsoft Mobile business, which is behind the Lumia mobile phones.  Microsoft's Lumia unit will reportedly be integrated into the Surface line.

When Nokia was sold to Microsoft, some 18,000 employees were chopped off. If this news is true, the number of people to be laid off is likely to increase as 50 percent of Microsoft Mobile workers. While the other half will join the Surface team. There are rumors that a new Surface Phone will be released early next year.

Instead of selling mobile devices, most of Microsoft's revenue come from Android patents license. The company has been putting emphasis on its third party OEM business and concentrating on the business and enterprise sector.

Meanwhile, looking back at Nokia's timeline under Microsoft, the company debuted its premier phone Lumia 535 about seven months after the acquisition of the firm. Then between November 2014 and March 2015, the company only released low-end units such as Lumia 430, 435, 532, 540, 636, 638, 640 and 640 XL.

There were no new releases until October, when Microsoft debuted its Lumia 550, 950 and 950XL. This February, the company announced its Lumia 650, which is allegedly the last Lumia, according to Tech Worm.

TagsNokia, Microsoft, windows, Lumia, Smartphone, Foxconn