After lots of media speculation, Nokia has confirmed that it is indeed buying Alcatel-Lucent, in a deal worth almost $17 billion.
The Finnish manufacturer has struggled to consolidate its business and find a new direction to focus on ever since it sold its phone manufacturing division to Microsoft. However, with this acquisition it looks certain that Nokia will continue to develop wireless technologies and be a key player in the telecom infrastructure industry. Nokia has been focusing on 5G technologies and with this new acquisition the company looks set for the future.
The original press release states:
The combined company will be uniquely positioned to create the foundation of seamless connectivity for people and things wherever they are. This foundation is essential for enabling the next wave of technological change, including the Internet of Things and transition to the cloud.
Alcatel-Lucent is a wireless technologies company and should not be confused with the eponymous Chinese phone manufacturer, Alcatel OneTouch, though going forward it will be fully part of Nokia. The deal is expecting regulatory approval and will likely go through some time next year.