Alcatel acquires Nortel UMTS assets for $ 320 million

COLLAB distinguished with the APDC / Siemens Innovation Award

Alcatel will pay $ 320 million for Nortel’s network equipment business in the UMTS area. With the deal, the French company – recently merged with Lucent – gains 14 new customers, mobile operators supplied by the North American company.

The deal also guarantees the transition to Alcatel’s control of Nortel’s radio access product portfolio, related products, assets and the division’s team.

According to the companies’ forecasts, the deal will allow Alcatel to jump to the third place worldwide for providers of UMTS network equipment, right behind Ericsson and Nokia.

With completion forecasts for the fourth quarter of the year, the deal will allow Nortel to focus on areas where it has the capacity to be the market leader, justified the company that complained about the lack of scale in this area of ​​UMTS.

Nortel’s priorities in the mobile area now go to GSM, GPRS and CDMA technologies where it intends to continue offering network services.

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