Back in April this year, Nokia confirmed its plans to buy Alcatel-Lucent in a deal worth $16.6 billion. Today, the Finnish company announced that the acquisition deal has a got a green light from the European Commission. Also Read - Nokia Clarity, Comfort, Micro, Go Earbuds Series with ANC launched: Price, features
While giving its nod, the Commission said the deal between Nokia and Alcatel would “not raise competition concerns” because “the parties are not close competitors [and] a number of strong global competitors will remain active.” Also Read - Nokia C30 budget phone launched with price under Rs 10,000: Check specs, price
“This foundation is essential for enabling the next wave of technological change, including the Internet of Things and transition to the cloud,” Nokia had said while announcing the deal in April. “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.” Also Read - Nokia XR20 rugged 5G phone launched: Check specs, price, India launch details
This acquisition move highlights Nokia’s transition into a company with focus on business and the industry clients. It is also expected to bolster Nokia against the likes of Ericsson and Huawei and become a major networking equipment provider. The two companies have entered into a memorandum of understanding, and the deal is expected to be closed sometime in the first half of 2016.
Currently, Nokia is also reportedly negotiating a deal to sell its HERE Mapping business. A trio of German automakers including BMW, Audi, and Mercedes, are reportedly close to finalizing the buyout.