Nokia's integration of Alcatel-Lucent following the proposed acquisition of its rival will be difficult and messy. Some significant rewards will take many years to achieve, if ever. However, very large research and development demands with economies of scale and scope in 4G, 5G and with fixed-mobile network convergence make this kind of transaction inevitable and indispensable.
Service providers' continual hesitation about how to implement software-defined networking (SDN) into their networks continued to be a drag on the service provider router and switch market as 2014 total revenue remained flat at $14.6 billion.
Is Nokia Networks' $16.6 billion acquisition of Alcatel-Lucent all about becoming a 5G powerhouse? Some analysts believe that's the case.
Now that the Q1 2015 earnings season is getting underway, FierceWireless is tracking the performance of large carriers and vendors, including T-Mobile US, Sprint, and Nokia. Special report
Speculation over Ericsson's future strategy has intensified following Nokia's announcement this week that it plans to buy Alcatel-Lucent, with some saying the Sweden-based vendor will be forced to expand its fixed-line business.
Nokia's $16.6 billion deal to acquire Alcatel-Lucent would bring together two large network vendors that have each gone through major mergers of their own that have been difficult, to say the least. Although the companies' leaders are defending the deal, some analysts are skeptical that the firms can pull off such a merger without major integration headaches.
Nokia has set off a new wave of consolidation in the telecom equipment market, reaching a deal to acquire Alcatel-Lucent for $16.6 billion. That move is now fueling speculation that Ericsson will make a similar move to round out its portfolio with more wireline capabilities by making a run for either Ciena, Infinera or Juniper.
How did the wireless industry perform in the first quarter of 2015? Check here throughout the first-quarter earnings report season for full earnings reports from the wireless industry's carriers, handset makers, equipment suppliers and others.
Nokia announced today that it will purchase Alcatel-Lucent (NYSE: ALU) for $16.6 billion. The deal will reestablish the European vendor's presence in the wireline space, an area that it largely left behind in recent years to solely focus on wireless.
Nokia agreed to purchase Alcatel-Lucent in a $16.6 billion (€15.6 billion) deal that would form a powerhouse to rival Ericsson and Huawei in the global market for telecom equipment. In the United States, the deal could create a company that could challenge Ericsson's leading position.