The Sony Ericsson joint venture established on October 1, 2001 is about to end as Sony and Ericsson today announced that Sony will acquire Ericsson’s 50% stake in the joint venture, making the mobile handset business a wholly-owned subsidiary of Sony.

The buyout will cost Sony EUR1.05 billion (around $1,47 billion) in cash and will not only make the phone segment a company subsidiary but will grant Sony access to a broad intellectual-property cross-licensing agreement and ownership of five essential patent families. The deal has been approved by both companies and is expected to finalize in January 2012, subject to customary closing conditions, including regulatory approvals.