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Thursday, July 31, 2014
Nokia Networks to buy Part of Panasonic's Wireless Network Business

Nokia Networks has entered into a memorandum of understanding to acquire part of the wireless networks business of Panasonic System Networks Company Limited.

The agreement covers Panasonic's mobile phone (LTE/3G) wireless base station system business for mobile operators and related wireless equipment system business.

The two parties plan to conclude the agreement by the end of September 2014, with expected closure scheduled on January 1, 2015, subject to customary closing conditions, including regulatory approvals. Under the terms of the agreement, fixed assets and business contracts with Panasonic's customers are being transferred to Nokia Networks in Japan, including Panasonic employees involved in the business.

Through this acquisition, Nokia Networks aims to further improve efficiency and quality control for product development and R&D, as well as strengthen its market share for base station systems and related wireless equipment in Japan. In addition, Nokia Networks plans to leverage its global experience and technical leadership in mobile broadband to grow its business in the acquired domestic carrier segment globally.

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