Feeds

Nokia flogs off WiMAX biz

Old tech goes to NewNet

The Essential Guide to IT Transformation

Nokia Siemens Networks has sold its WiMAX business to NewNet Communications, handing 300 staff and the WiMAX portfolio to the company, which is a division of Skyview Capital.

Both NewNet and Skyview described themselves as excited by the opportunities in WiMAX, and delighted to be taking on the staff, product portfolio and customer base of Nokia Siemens Networks, with the deal expected to be completed by the end of the year. Much of that business originated with Motorola when NSN bought the networking part of that company for a sum just shy of a billion dollars in May, though it promptly scaled back the WiMAX operation as part of the 1,500 layoffs following that acquisition. Neither company is saying how much NewNet is shelling out for the remaining WiMAX bits.

To the mobile network operators, who make up NSN's customer base, WiMAX is a dead technology. Even the early US champion – and NSN customer – Clearwire is migrating towards the widely supported Long Term Evolution (LTE) standard, and aspirations for national WiMAX networks have already faded to the point of illegibility. But despite that WiMAX will live on, both in legacy deployments and in vertical markets, where interoperability isn't the primary consideration... but those aren't the markets where NSN wants to play, so the selloff makes strategic sense.

It also gets rid of 300 staff, mostly in Chicago and Hangzhou, which can only help towards the 17,000 layoffs the company is planning in the hope of turning its ongoing losses into a profit, or at least stemming the tide. That's about a third of its staff, prompting every employee to glance left and right in the hope of seeing someone else who'll get the axe, while waiting to see in which of the 150 countries where NSN currently has operations the axe will fall hardest.

But for 300 staff who'll be working for NewNet come January, the future is clear, for the moment at least. ®

Boost IT visibility and business value

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.