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Nokia and Siemens to merge phone business

Posted on Monday, June 19 2006 @ 21:17:58 CEST by

Nokia and Siemens have agreed to merge their telecom equipment units in a deal to create one of the biggest players in the industry.
They said the businesses to be combined in the 50-50 joint venture called Nokia Siemens Networks had sales of 15.8 billion euros (10.8 billion pounds) last year.

German industrial conglomerate Siemens declined to comment on financial details of the deal, which the Wall Street Journal has reported is worth $31.6 billion.

The deal will put the new company in the same league as current industry leader Cisco Systems Inc. and the new merged Alcatel-Lucent in terms of sales, and offer savings as they take on fierce competition.
More info at Reuters.



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