Nokia Siemens purchases Motorola: Buy the ticket at 1,200 million dollars?
The news on July 23, Motorola wireless department will certainly be the fish, nowadays hang and doubt that fell at last. On July 19, Nokia Siemens and Motorola jointly announce, the former will purchase most wireless network service of the latter with cash of 1,200 million dollars. The tide of merger and acquisition on the domain of global communicating device will come to an end. Look back the transaction, getting optimistic to seem, Nokia Siemens built up strengths, have obtained the competitive edges of several pieces of domain such as North America, Japan and China, the pessimistic one does not think Nokia Siemens has chosen a big advantages, opposite to shoulder a great burden yet.
And in fact, according to intention that Nokia Siemens expressed, have only bought a ticket which enters the North American market at 1,200 million U.S. dollars, and is probably accommodation bill.
The people in the communication trade understand, the market of North American telecommunication is the technical wind vane of global communication, there is a experimental field here in most advanced technology, it is a bone most difficult to gnaw at the same time. With the purchasing of this North American local overlord of Motorola, Lucent, north electricity have already purchased to others under one's command nowadays, it is completely annihilated to sweep away the market of telecommunication for many years and create a generation of brilliant North American strong teams. In the past, the North American market relatively closed, all the time only the telecommunication equipment trade to North America areas such as north electricity, Lucent and Motorola,etc. is being opened, the foreign apparatus trade is often very difficult to get involved, so, Nokia Siemens may be said that is determined to win this time, because this is the last last bus.
The intersection of Nokia and that Siemens purchase act large to have the tendency to gamble with large stake, purchase assets that come over in fact the thing exceed his value, and only operator's relation and resource different to fulfill, these resources under saved of more than ten years of Motorola's wireless business in the past, it is still unknown numbers whether could continue creating profit and value for Nokia Siemens. Nokia Siemens says frankly too, though this constituent company of Motorola mainly produces the network technique products of older generation, the core is CDMA wireless devices, but hope to strengthen U.S.A. such as wireless and Sprint with Verizon without having connection of wireless operator and wired TV and Radio Corporation of maximum through him.
Reality may be crueler, instantly, CDMA technical force's domain has been already in a greatly reduced state compared with what it used to be, though big operators such as U.S.A. Sprint, Verizon, Japan KDDI, China Telecom,etc. are running, but not so popular as WCDMA far, this is thus clear from global commercial network quantity. On 4G technical gradual progress chance in the future, the operators of several CDMAs are choosing prudently too, but the one that can affirm is, even Motorola is not purchased, it is difficult to continue holding sway over a region. For example though Motorola and Verizon have launched LTE network test, but it is master 4G wireless infrastructure cooperative partners that Verizon has already selected Ericsson and Alcatel - Lucent.
On the Chinese market, Nokia Siemens may fail to borrow Motorola too as the abacus in the springboard. For many years, Motorola got many orders on the market of China Telecom, include GSM and CDMA field, all undertake the construction of the network, what praised is most, in 2001, CHINAUNICOM CDMA the first stage of the project system equipment called for bid at the meeting, Motorola take down the intersection of aggregate amount and up to 407 million dollars contract at one blow, account for, call for bid systematic the intersection of master and the intersection of procurement contract and nearly 30% of aggregate amount nearly, but the marginalisation day by day with fall of Motorola's wireless business of this position, the past CDMA apparatus was replaced for, resurgence by China too, in the key TD apparatus called for bid, Motorola three time absent, but in the intersection of WCDMA and competitive bidding of CHINAUNICOM, Motorola and for make up, unite legion's competitive bidding China, the reason is that China is WCDMAOEM manufacturer of Motorola, and all these will end with purchase of Nokia Siemens.
Secondly, the decline of Motorola wireless department has been settled already, it is its Ipomoea batatas Lam. of eager to swing one's arm scalding one's hand in the hand, the business worsens sharply, no matter market share, business scale, technology, have already far lagged behind the rival. In recent years, Motorola has invested a huge sum of money to the network department, thus support the mobile equipment department of the company to manage. From 2007 to the present, Motorola mobile equipment portion has already lost over 5 billion dollars. Obviously, Nokia Siemens does not extravagantly hope to obtain appreciation on the assets by purchasing, moreover this transaction excludes more generous iDEN business of profits, and Motorola has kept most patents and other particular assetses related to infrastructure business of The wireless network.
In Nokia Siemens purchases the assets bag got, wimax technology can be regarded as Motorola and rob an ophthalmic one in new technology research and development most, Motorola WiMAX has 41 contracts in 21 countries, including ClearwireSprint, but unfortunately, Wimax had already been surmounted by the latecomer LTE in 4G in the past, a lot of operators such as Verizon, AT&T thought, LTE technology can let before users towards 4G natural staging, even originally support the enterprises of WiMAX to begin to defect. Cisco - T has purchased market of Navini overall arrangement WiMAX apparatus before, and establish a joint venture with Sprint, Clearwire a huge sum of money, expand WiMAX. But shortly after turn by LTE to,even some of one that if you can't cut down, buy from Navinies business. Just got on horse in Russia telecommunication operator Yota of WiMAX network and announced last month, would dispose LTE technology later this year.
