NSN Unveils Its Kill List

Nokia Networks , as part of its restructuring, says it will focus on mobile broadband, services and customer experience management. (See NSN to Cut 17,000 Staff and NSN to Restructure.)

But what businesses might it exit?

Those details weren't divulged in NSN's press conference today but rather they were featured in an email from NSN CEO Rajeev Suri to the company's 74,000 employees worldwide. The email was cited by Mobile Europe, and NSN's spokesman confirmed to Light Reading that the note and its details were authentic.

Suri, in the memo, declared NSN may "exit or maintain" a wide range of businesses including "perfect voice (fixed-line VoIP), broadband access, WiMax, narrowband, carrier Ethernet, business support systems (BSS), and communications and entertainment solutions (CES)." Those businesses, Suri wrote, "will be targeted for exit (possibly through divestment) or put in maintenance mode."

NSN has already agreed to sell its microwave transport unit. (See DragonWave to Buy NSN Unit.)

"The big question is, can they really execute on a program like this while remaining a credible, reliable vendor to the operator community, especially in the fast-growing mobile broadband market?" asked Bengt Nordström, CEO of Northstream consulting firm. "Will operators believe that NSN can deliver … while they do this restructuring?"

Nordström added that NSN has been "cutting costs for five or six years. That has not been sufficient. This is more of the same, but it is a much more drastic restructuring. … The numbers speak for themselves."

— Phil Harvey, Editor-in-Chief, Light Reading and Michelle Donegan, European Editor, Light Reading Mobile

COMMENTS Add Comment
shygye75 12/5/2012 | 4:48:06 PM
re: NSN Unveils Its Kill List

M2M under "customer experience management" seems a bit weird. Is it an acknowledgment that smartphones are now customers, as opposed to humans?

^Eagle^ 12/5/2012 | 4:48:05 PM
re: NSN Unveils Its Kill List

What about optical transport both metro and long haul... and optical switching?

what about R&D in access networks: next generation PON for instance?

What about switching and routing (maybe this is part of carrier ethernet)?

Wonder why they would abandon IP based developments whether in carrier ethernet, or for IP/DWDM transport, etc.... when IP is clearly the tide that runs most communications networks.... in all its' forms.  getting rid of carrier ethernet seems to me would also damage their wireless development as the core of modern wireless networks is all based on IP.  

looks like there is a lot more detail missing from the announcements.  Hope to get clarity soon for various reasons.


digits 12/5/2012 | 4:48:02 PM
re: NSN Unveils Its Kill List

these are the things I am following up on -- it looks like there is a lot more included in 'mobile broadband' than the RAN and packet core systems.

The Eye of the Network 12/5/2012 | 4:47:57 PM
re: NSN Unveils Its Kill List

Belgacom is The Belgian incumbent Telecom operator (still 51% owned by the Belgian gov't). Telenet is an alternate (private) operator, originally The cable operator in the flemish (dutch speaking) part of the country with also some presence in part of Brussels, but zero presence in the french speaking part, whereas Belgacom is covering the complete country..

I guess also that NSN has other IPTV customers than Belgacom.. But then, Belgacom has opportunities to move to another IPTV supplier.. Follow my eyes..

optiwizard 12/5/2012 | 4:47:57 PM
re: NSN Unveils Its Kill List

Interesting to read that the IPTV solution of NSN will be put in maintenance mode. That is very bad news for the Belgian based operator Belgacom with a lot of subscribers for their digital TV Service Package.

Of course the end-customers can choose to swap to Telenet, the Belgian incumbent Telecom operator ...


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