Ben Verwaayen, who led BT through five years of cost cutting and job losses, has been named CEO at struggling comms vendor Alcatel-Lucent, which has lost some $7 billion since its 2006 merger. He'll be joined by ex-aerospace exec Philippe Camus, who Alca-Lu named non-executive chairman.
The two Europeans replace Patricia Russo and Serge Tchuruk, who led Alca-Lu to six straight quarters of losses and were at the core of management infighting between Alcatel's French interests and Lucent's American forces.
Verwaayen, who's Dutch, and Frenchman Camus should help quiet the battle within, but Alcatel Lucent has a long way to go. Its market value has declined some two thirds since the merger. Verwaayen knows his way around telecoms and is no stranger to Lucent, where he held various positions before BT.
- See the Wall Street Journal story
Heads roll after huge Alca-Lu losses. Alca-Lu report
Could Alcatel-Lucent rule change doom Russo? Russo article
Alcatel-Lucent shareholders ease rules for CEO removal. Alcatel-Lucent story
AlcaLu's losses continue in Q1 asCDMA business declines AlcaLu report