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Eurobites: Transmode to Cut Jobs

Paul Rainford
8/26/2014
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Also in today's EMEA regional roundup: AT&T/Vodafone rumor returns; Swisscom offers WiFi option for mobile; Huawei's small cells in Iceland.

  • Transmode Systems AB , the Swedish optical and Carrier Ethernet vendor, has announced a cost-cutting program that could see the loss of up to 30 jobs. The vendor is hoping to shave 40 million Swedish kroner (US$5.7 million) off its cost base over the course of the year, though it estimates that it will cost SEK10 million ($1.4 million) to implement the program. Last month, Transmode posted second-quarter profits that had more than halved year-on-year to SEK19.1 million ($2.8 million) on sales that were down 14.8% to SEK250 million ($36.6 million).

  • The summer rumor mill is grinding away nicely, with the Seeking Alpha website passing on word that AT&T Inc. (NYSE: T)'s advisers are hard at work on preparing a new bid for Vodafone Group plc (NYSE: VOD) that values the UK-based mobile giant at around $130 billion. The six-month prohibition on the US carrier bidding for Vodafone expired last month, prompting renewed speculation. In January AT&T responded to speculation by saying it had no immediate plans to buy Vodafone. (See Euronews: AT&T Nixes Vodafone Bid Plan .)

  • The battle to offer enhanced indoor connectivity continues... Swisscom AG (NYSE: SCM) is pushing a technology it calls "WLAN Interworking," which allows its mobile customers to automatically switch to their home WiFi for a voice connection if that offers better reception than a cellular connection. The operator says the first smartphones supporting the new technology will be launched during the coming months. (See Swisscom Intros WLAN Interworking.)

  • Icelandic mobile operator NOVA has chosen Huawei Technologies Co. Ltd. to deploy what the vendor says is the first instance of its LampSite small cell solution in a stadium setting. LampSite, which supports supports multi-band, multimode, carrier aggregation and MIMO technologies, was switched on at the Korinn Stadium, near Reykjavik, for a concert by teen heart-throb warbler Justin Timberlake. (See Huawei's LampSite Deployed in Iceland.)

  • Nokia Networks has completed its acquisition of SAC Wireless, the Schaumburg, Illinois-based indoor wireless specialist. (See Nokia Closes on SAC Buy.)

  • Gemalto , the Dutch digital security vendor, has landed an NFC (near-field communications) deal with Japan's NTT DoCoMo Inc. (NYSE: DCM), covering such areas as mobile payments, loyalty programs, e-ticketing and access control. Japan, apparently, has the world's largest contactless infrastructure.

  • Norway has postponed indefinitely a spectrum auction that was supposed to have taken place in January 2015, reports Reuters. TeliaSonera AB (Nasdaq: TLSN)'s proposed acquisition of Tele2 AB (Nasdaq: TLTO)'s Norwegian arm has been cited as the reason for the decision.

  • South Africa's MTN Group Ltd. is planning to lay off around 850 managerial staff, according to a Reuters report. The operator has been facing fierce competition domestically from the likes of Vodacom Pty. Ltd. and Cell C .

    — Paul Rainford, Assistant Editor, Europe, Light Reading

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    Ray@LR
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    Ray@LR,
    User Rank: Blogger
    8/26/2014 | 10:23:20 AM
    The perils of being public
    One of the things about being a public company is that there's very little wiggle room when it comes to keeping costs under control -- that's a tough decision for Transmode.
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