Nokia is considering selling its Health division, and interested bidders include Nest, two French companies and one non-European company, according to a report by Wareable.
Nokia bought Withings for €170 million in 2016 to form its Health division. However, the branch is struggling with sales, collecting just €141 million in revenues last year.
The Health division’s products include smart watch, digital thermometer, sleep tracker and smart scales. The sleep system also connects to other smart home devices and can brighten the light automatically when users wake up.
It’s not yet clear whether Nokia will sell all the assets in the division or will keep a portion, like the B2B segment.
It isn’t difficult to see Google’s interest in Nokia’s Health division. The search company brought Nest under its umbrella again few months ago. Health tech can enrich Nest’s current lineup of products for future homes.
In addition, tracking sleep is difficult. Acquiring the business will help Google gain the know-how and create more advanced sleep tracking products using its artificial intelligence resources.
Meanwhile, the French government may be a key player in this deal. Due to the Facebook data scandal, selling a European company to Google might create a bad image for Europe.
The French government just launched an initiative to invest more of the country’s effort in artificial intelligence development. As such, the government wants Nokia to sell the division to French companies to bolster this initiative.
Personal health data such as sleep metrics will also have better protection in the EU. The region’s new regulation on personal data will go in to effect across the EU on May 25, giving users more control over their own data from technology companies. Google didn’t give comments on the story.