Nokia has announced its plans to acquire Alcatel-Lucent for $15.6 billion ($16.6 billion), a company which has been selected in 2014 as equipment provider for 3G / 4G Network of Kosovo’sState-ownedd telecom provider, Vala.
With about 114,000 employees and sales of around 26 billion euros, the combined company will rank a strong second in mobile equipment, with global market share of 35 percent, behind Ericsson at 40 percent and ahead of Huawei’s 20 percent, according to Bernstein Research.
Nokia, following the sale of its mobile hardware division to MicrosoftÂ and Alcatel-Lucent plan to close the deal in the first half of 2016. The new company is expected to use the Nokia brand, but retain Alcatel-Lucent’s Bell Labs name for its R&D activities.
“The combined company will be uniquely positioned to create the foundation of seamless connectivity for people and things wherever they are,” Nokia said in a statement. “This foundation is essential for enabling the next wave of technological change, including the Internet of Things and transition to the cloud. With more than 40,000 R&D employees and spend of $4.7 billion in R&D in 2014, the combined company will 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.”