Microsoft will continue to use Nokia as brand name for its low-end phones after acquiring the mobile company in April, PCWorld reported.

In an article posted Thursday on Nokia's website, Conversations, Microsoft said that it will keep the license granted to the Finnish mobile phone company while they prepare the launching of Microsoft Lumia.

Microsoft Lumia will be the company's newest addition to its series of smartphones, according to Tuula Rytila, Microsoft's Senior Vice President of Marketing for Phones.

Rytila said that the company's global and local websites are going through a transition and that the firm's social channels will likewise be re-branded.

"This work continues across our devices, packaging and retail, to name a few," Rytila said.

She also said that after the 10-year license granted by Microsoft to Nokia Lumia phones, the company will drop the Nokia name.

In the meantime, Microsoft will continue to sell Nokia-branded, entry-level phones, such as the Nokia 130, according to The Verge.

The report did not specify how many of these types of devices Microsoft will continue to support.

Slowly, Microsoft will be phasing out most of Nokia's feature phones to give way to Windows phone, leaving only very basic mobile phones for production under the Finnish company in the future.

Microsoft declared signs of progress Thursday in the mobile business through a number of innovations. The company admitted that with the acquisition of Nokia, it was able to achieve a 25 percent increase in sales, reports New York Times.

Despite the current downward trend in sales of traditional software companies, Microsoft has retained viability in the market because of its decision to engage in the mobile industry.

"Over all, what we see is the increasing competitiveness of our products," said Satya Nadella, CEO of Microsoft, in a conference call with business analysts.