HELSINKI ? Finnish telecommunications equipment giant Nokia said on Friday it had named senior Microsoft executive, Stephen Elop, as its new chief executive and president, replacing Olli-Pekka Kallasvuo.

Kallasvuo would also resign his position on the Nokia Board of Directors, but continue to chair the Board of Nokia Siemens Networks in a non-executive capacity, it said.

"The time is right to accelerate the company's renewal; to bring in new executive leadership with different skills and strengths in order to drive company success," former CEO and Board Chairman Jorma Ollila said in a statement.

On September 21, Elop, who is currently the President of Microsoft's Business Division, will take over as Nokia CEO.

"I am extremely excited to become part of a team dedicated to strengthening Nokia's position as the undisputed leader of the mobile communications industry, " Elop said in the Nokia statement.

Analysts say speculation has been rife this year over the potential departure of Kallasvuo, in light of Nokia losing ground in the smart-phone sales wars as well as struggling to maintain global market share.