SEATTLE (REUTERS) - Microsoft Corp recently talked with Nokia about buying the Finnish phone maker's devices unit, but the discussions faltered and are not likely to be revived, the Wall Street Journal reported on Wednesday in its online edition.

The Journal reported that "advanced discussions" on a deal happened as recently as this month, according to unnamed sources it said were familiar with the matter.

Microsoft rejected a deal because of price and Nokia's loss of market share to rising Asian competitors, the report said.

Representatives of both companies declined comment.

Nokia's smartphones exclusively use Microsoft Windows Phone software, under a deal the two companies struck two years ago.