After announcing the deal back in September [1], Nortel has finally reached a definitive agreement with the newly merged Alcatel-Lucent to sell its UMTS business for $320 million. The deal includes Nortel's UMTS access portfolio: radio network controller and node B products, related services, applications, customer contracts and assets. About 1,700 of Nortel's UMTS employees will transfer to Alcatel-Lucent (I wonder how that squares with the downsizing described in today's number 5 story.) Nortel's UMTS business has been operating at a loss because of a crowded field, as well as a lack of product scalability and momentum, Nortel said.
For more on the deal:
- see this article [2] from Canada.com
Links:
[1] http://www.fiercewireless.com/story/alcatel-to-buy-nortel-3g-assets/2006-09-01
[2] http://www.canada.com/topics/technology/news/gizmos/story.html?id=fff60772-de66-4ea7-a9fd-5c51610c58d0&rfp=dta