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Eurobites: Telefónica, China Unicom Double Up on Devices

Paul Rainford
6/29/2015
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Also in today's EMEA regional roundup: Infinera enhances bid for Sweden's Transmode; Huawei claims LTE breakthrough on French trains; charging mobiles though movement.

  • Telefónica is hoping to benefit from economies of scale by entering into a joint smartphone procurement program with China Unicom Ltd. (NYSE: CHU), with the intention of selecting handsets based on shared specifications. The first fruits of the collaboration, 4G devices sourced from Lenovo and TCL, are expected to be on the market in the second half of 2015 in Europe, China and Latin America. (See Telefónica, China Unicom Boast Savings From 4G Handset Procurement Deal .)

  • Infinera Corp. (Nasdaq: INFN) has improved its bid for Sweden's Transmode Systems AB , providing shareholders with a potential all-cash consideration alternative. Infinera made the initial $350 million offer for the Swedish optical vendor back in April, based on a mixture of cash and shares. (See Infinera Makes $350M Offer for Sweden's Transmode.)

  • Huawei Technologies Co. Ltd. and train manufacturer Alstom have completed a trial of 4G LTE multi-services based on Communications-based Train Control (CBTC), a railway signaling system based on wireless ground-to-train communication. The trial was carried on the railway network in the Valenciennes area of France.

  • A UK firm has acquired the rights to two "energy harvesting" technologies that enable mobiles devices to be powered by human movement, according to a report in the Daily Telegraph. Tekcapital, based in Oxford, bought the rights to the two technologies from the University of Michigan and the Georgia Institute of Technology respectively.

    — Paul Rainford, Assistant Editor, Europe, Light Reading

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    Kruz
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    Kruz,
    User Rank: Light Sabre
    6/30/2015 | 3:26:32 AM
    Needed
    Charging batteries by human movement is a well needed innovation. Smartphones have quickly evolved in the last years but no developements were seen in relation to battery(other than Samsung investing in battery R&D and its promise to provide a new technology).
    thebulk
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    thebulk,
    User Rank: Light Sabre
    6/29/2015 | 12:48:37 PM
    Re: More about Infinera/Transmode...
    I am sure they wont be relaxed until it closes, but right now is there any real talk about trying to shoot it down? 
    DOShea
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    DOShea,
    User Rank: Blogger
    6/29/2015 | 11:31:48 AM
    More about Infinera/Transmode...
    Here's the full release from Transmode on its positive response to the adjusted offer:

    http://www.transmode.com/en/about-transmode/news-and-media/press-release/18511-statement-by-the-board-of-directors-of-transmode-in-relation-to-infineras-enhanced-public-offer

    The acquisition offer needs to be accepted by shareholders representing "more than 90% of the total shares of Transmode," according to Infinera's original statement, so you can see why they created another option. There earlier had been reports the deal could close a little later than first expected. 

    http://www.lightreading.com/optical/packet-optical/brisk-web-business-boosts-advas-outlook/d/d-id/716348

    There doesn't appear to be any sense of panic here, but I'll bet it's going to be difficult for folks in the Infinera and Transmode exec suites to have much of a relaxing summer until it does close.
    nasimson
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    nasimson,
    User Rank: Light Sabre
    6/29/2015 | 11:18:03 AM
    whats in the deal for Telefonica?
    Telefónica is hoping to benefit from economies of scale by entering
    > into a joint smartphone procurement program with China Unicom Ltd. 
    > with the intention of selecting handsets based on shared specifications.

    Telefonica is a big telecom group in itself with many operations across countries. Does it need even more scale when it comes to handset procurement. 

    I can understand it from China Unicom's perspective. Gaining economies against China Mobile. But whats in the deal for Telefonica?
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