Should Alca-Lu and NSN merge?

Following dramatic advances by Sweden's Ericsson--the firm doubled its market share lead in the second quarter, according to Dell'Oro, while inking a $1.13 billion bid for Nortel Networks' CDMA and LTE assets--should smaller rivals Alcatel-Lucent and Nokia Siemens Networks consider a merger? Such a strategy could counter both Ericsson's strengthened position as well as increasing competition from Chinese upstarts. However, according to a Reuters analysis of the question, a merger between Nokia Siemens and Alcatel-Lucent may make sense on paper but would give both Nokia Siemens (a merger between Nokia and Siemens) and Alcatel-Lucent (a merger between Alcatel and Lucent) pause, based on the less-than-stellar results of their past merger efforts. Article