Nokia will purchase Alcatel-Lucent for 15.6 billion Euros
Nokia will purchase Alcatel-Lucent for 15.6 billion Euros. Find out why Nokia has set its sight on the French telecommunications equipment company.
(Image source: Nokia)
Nokia will purchase Alcatel-Lucent for 15.6 billion Euros. The deal is expected to be completed by the first half of 2016. The decision to purchase the French telecommunications equipment company highlights Nokia's intentions to become a major player in this very market.
According to Nokia, the new company will be called Nokia Corporation, with its HQ in Finland and a “strong presence in France.” Collectively, the new company will have 40,000 research and development employees, and a total R&D budget of 4.7 billion Euros. This will allow them to challenge Ericsson, who is the current market leader. Also, with Alcatel-Lucent under its folds, Nokia claims that they “be in a position to accelerate development of future technologies including 5G, IP and software-defined networking, cloud, analytics as well as sensors and imaging.” In the past, Alcatel-Lucent has worked with all three major telcos for infrastructure upgrading projects. Therefore, we may see Nokia Corporation working closely with these companies in the near future.
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