By Jay Jay
Spurred on by the €5.6 billion (£4 billion) sale of its handset business to Microsoft earlier this year, Nokia seems interested in combining its portfolio with Alcatel-Lucent’s somewhat less-expensive handsets in a buyout battle.
Germany’s Manager magazine has reported the possibility of a merger between Nokia and Alcatel-Lucent is around the corner.
The marriage, if it sees the light of the day, will bring high speed wireless network to those with budget phones or with incredible demand for the internet.
The move will eventually benefit university-goers, and small business owners. Alcatel-Lucent also boasts a potent fixed line network- an added benefit in a data-driven consumer market. Even though neither of the telecommunication companies reacted to the news, both are known to have held several talks regarding a possible merger for years.
They, however wouldn’t mind the 3.4% increase in share value for Nokia and 8.7% for Alcatel-Lucent after the news caught the attention of the industry. Even though a deal seems imminent, it is still unclear whether Nokia is interested in a complete buyout or just buying market share for future strategies.
Watch this space.