Helsinki: Nokia said last week it would add support to Microsoft's Silver-light Web video technology to millions of its handsets, in the latest deal between the two giants.
Nokia said Silverlight would first be available for S60 software platform, used in more advanced phones, but later also for S40, which is used in many of Nokia's cheaper phones.
Nokia's S60 software, built on UK-based mobile phone software firm Symbian's operating system, is used extensively in Nokia's line-up, but also in cellphones of LG Electronics and Samsung Electronics. Its closest rival is Microsoft's own Windows Mobile, with just over 10 per cent of the market.
In 2005 the two companies signed their first co-operation agreement to put Windows Media player on to Nokia phones, raising eyebrows as the two had been fierce competitors in the mobile software industry.
As cellphone prices fall, handset vendors are looking for new revenue from potentially lucrative software operations, while Microsoft is looking for new revenue from the mobile space.
In 2007 Nokia also started to use Microsoft's copy protection software Play-Ready and added access to Windows Live services to its cellphones.
Silverlight is a rival to Adobe System Inc's Flash technology.
"We continue to support Flash and several other technologies," Nokia spokesman Mark Durrant said.