The Finnish company sold its mobile phone business to Microsoft (MSFT) - Get Microsoft Corporation Report in April, but had to keep the Indian facility due to a tax dispute. The plant continued manufacturing phones for Microsoft on a contract basis.
"Microsoft has informed Nokia that it will be terminating the manufacturing services defined in the agreement with effect from Nov. 1," Nokia said in a statement. "In absence of further orders from Microsoft, Nokia will suspend handset production at the Sriperumbudur facility."
Must Read:Warren Buffett's 25 Favorite Stocks