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With Nokia’s recent issues with poor sales and dodgy software, it’s perhaps unsurprising that rumors are once again abound that the mobile phone behemoth is batting its eyelashes at a 3rd party operating system with the hopes of improving its ailing fortunes. This time it’s Microsoft’s Windows Phone 7.

Homescreen: Omnia 7

According to a report from Engadget, it’s expected that Nokia will announce a new partnership at Capital Markets Day next Friday. This is when the company has launched new products and ideas in the past and Chris Ziegler claims this time around we’ll learn about a new partnership with the boys from Redmond.

With their new CEO Stephen Elop coming from Microsoft, it’s been whispered for a while that Windows Phone 7 will be the operating system of choice moving forward, with Google’s Android also touted as a possible alternative to in-house software such as Symbian and MeeGo.

Could this be the end of Nokia as we know it? Possibly, but plenty of hardware-only companies make a bucket-load of cash from the market, just look at HTC and their oh-so-many Android phones. There’s clearly a market out there for sleek, sexy hardware running the latest and greatest OS and Nokia certainly knows how to do sleek and sexy.

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