Recode is reporting that Verizon is selling off some of its smartphones and tablets to Verizon Wireless for about $400 million.
Verizon says it’s looking to sell off about 80 percent of the remaining inventory, with the rest of the devices to be used by its other customers.
Verizon’s acquisition of the Nokia-owned smartphone and tablet maker in 2015 led to a rapid drop in the stock price of Verizon Wireless, as investors rushed to cash out on a company they thought was going to lose its position in the smartphone market.
That hasn’t happened.
The stock price is now around $15 per share, and the company is still profitable, according to analysts at Credit Suisse.
The deal was approved by Verizon shareholders earlier this month, with a majority of Verizon shareholders voting in favor.
Verizon also reported earnings this week, and reported net income of $6.7 billion.