In a recent development, Nokia CEO Rajeev Suri has confirmed that the Finnish multinational communications and information technology firm will enter the smartphone market again from 2016.

Quoting a report in GSM Arena, IB Times reports that while the re-entry of Nokia into the smartphone market is certainly good news, the tech company, which was a major industry player not long ago, will employ the same strategy that it used to manufacture and market the Nokia N1 tablet. In other words, Nokia will not produce the handsets itself, but the tech team will design the device and, hence, the company's name will be part of the smartphone moniker.

The report says that Suri confirmed Nokia will be working with "suitable partners" to manufacture the handsets. He added that currently the company is actively looking forward to an appropriate strike a deal. According to GSM Arena, it would be quite easy to find partners for the company as it own an outstanding brand name like Nokia. As of now, Foxconn seems to be the perfect choice, and it supposedly possesses the license for the popular Android-based Nokia N1 tablet.

Meanwhile, Nokia is barred from licensing any future products until the second half of 2016, owing to the terms of the deal with Microsoft, which acquired the company's mobile unit in 2013. However, GSM Arena further states that the Nokia N1 tablet runs on the Android OS and, hence, it is expected that future Nokia products may also use this operating system instead of the Windows OS.

Meanwhile, market analysts at The Economic Times expect Microsoft to strike down "all or part of the $7.2 billion it paid for Nokia's handset unit," as this deal turned out to be a money-losing business for Microsoft. Precisely speaking, Microsoft has been able to gain just 3 percent of the smartphone market.

In addition, there are reports that Stephen Elop, former CEO of Nokia CEO, is also leaving Microsoft. According to The Economic Times, Elop's resignation is a sign of the fact that "the company is turning away from the hardware devices business he headed and back to its core software business."