Nokia Planning To Return With Phones and Virtual Realty Next Year, Says Report

Nokia is planning to return to market with new phones next year, according to a new report by Recode. Citing two sources briefed on company's plans, the publication said Nokia has a number of other ambitious technology projects as well, including some in the virtual reality arena.

According to the report, the move is being driven by Nokia Technologies-the smallest of the three businesses that remained after the Microsoft deal. The section is best known for being the arm that licenses the company's massive portfolio of more than 10,000 patents.

"They have a lot of great stuff in development," said Richard Kerris, a former Nokia executive who also consulted for the company until last year as part of his last startup. "It gave me complete confidence that Nokia is a company that is not going away."

Nokia sold its devices and services business to Microsoft. The company last year launched its N1 tablet in China.