Nokia in talks with Microsoft to develop Windows Phone handsets?

Here’s an interesting rumour to start off your week; according to Eldar Murtazin, the man behind many of the handset leaks you see today, is suggesting that Nokia has started talking with Microsoft over possible ways to expand its operations with the possible development of Windows Phone 7 handsets a very real possibility.

Murtazin, writing his weekly op-ed, notes that the two companies met behind closed doors last month, a meeting spearheaded by new leadership teams at Nokia, discussing not only the option to exchange technologies but also roll out an “entire line” of Windows Phone devices.

The new devices would carry the Nokia brand, be sold via the same sales channels and retain the characteristics features of Nokia handsets.

Keeping a sense of perspective, it’s easy to dismiss the rumours, especially after Nokia categorically ruled out any chances of working with Google and its Android operating system. That said, Nokia has recently appointed Stephen Elop as its new CEO, a former Microsoft executive, and the company continues to maintain a good working relationship with the Redmond company over Microsoft Office and Silverlight compatibility for its Symbian software.

For Nokia, the move would undoubtedly be aimed at recapturing the North American market, utilising a slick and powerful OS that recently launched to critical acclaim. In return, Microsoft would get to see its operating system running on some of the most technologically advanced handsets on the planet.

Couple the Nokia N8 with Windows Phone 7, you’d suddenly be a lot more interested in the handset. Wouldn’t you?!