It could be lighter in other ways too. On Friday's third-quarter earnings call, CEO Ben Verwaayen reiterated that he's looking to cherry-pick the best parts of the communications sector and be a significant player in those segments: The days of end-to-end are over (at least for AlcaLu).
To achieve that, AlcaLu will withdraw from some markets (and adopt a sales channel strategy) and sell some (unspecified) parts of its empire.
Whatever his next move, Verwaayen needs some positive proof points soon. The vendor's margins are on the slide and investors don't appear to care much for explanations and reasoning: AlcaLu's stock is down 9.5 percent to $1.00. (See Margin Misery for Alcatel-Lucent.)
Here's a snapshot of the some of the key points Verwaayen and CFO Paul Tufano made during their presentations and in their answers to questions from the analyst community.
But here's a bit more detail about the new setup.
- The Networks and Platforms Group (networking, software and services) will comprise four business divisions: Core Networks (Optics and IP); Fixed Networks; Wireless; and Platforms
- The Focused Businesses Group will comprise Enterprise, Submarine and the Strategic Industries division
- Managed Services will be a standalone operation
- The Global Sales and Marketing organization will "oversee and manage all customer-facing commercial relationships"
- The Global Customer Delivery team will focus on creating a "unified and agile delivery capability"