According to a report from Light Reading, Nortel has entered into talks with Tellabs for a possible acquisition. The report follows a recent one that Nokia-Siemens was bidding $7 billion for the company, which has been rumored to be for sale all year. Light Reading's sources say that Nokia-Siemens is still in talks with Tellabs but Nortel recently entered the talks, too. While a Nortel acquisition of Tellabs works for FTTH, IPTV and other reasons: the wireless ramifications are just as compelling. The Tellabs 8600 and 8800 are used in various wireless network applications, 8600, in particular, is used in wireless backhaul. Tellabs' current market capitalization is around $4.5 billion.
For more on Nortel's interest in Tellabs:
- read this article from Light Reading