China clears Nokia Siemens Networks' deal for Motorola unit

The deal had faced a delay from China's Ministry of Commerce and then a lawsuit filed by Huawei

China has cleared the way for Nokia Siemens Networks to complete its acquisition of Motorola's cellular networks business, after the deal was complicated by a delay from Chinese regulators and then a lawsuit from competitor Huawei.

China's Ministry of Commerce approved the acquisition on Wednesday, said Nokia Siemens spokeswoman Riitta Mard. The deal is expected to close on April 29.

Nokia Siemens announced it would purchase the Motorola unit last July for US$1.2 billion. The acquisition was expected to make it the number three wireless network equipment vendor in the U.S., and elevate it as the largest overseas supplier of cellular infrastructure equipment in Japan.

But the deal, originally slated to close at the end of 2010, was delayed because the anti-monopoly bureau of China's Ministry of Commerce was still reviewing the acquisition.

Then in January, Chinese network equipment maker Huawei filed a lawsuit in a U.S. court to halt the deal. The lawsuit, filed against Motorola Mobility and Motorola Solutions, argued that the acquisition would transfer Huawei's trade secrets to Nokia Siemens. In the past, Huawei had provided confidential information to Motorola in order to help develop its cellular communication networks.

But earlier this month, Motorola and Huawei settled the lawsuit. Motorola would be allowed to carry out the transfer of Huawei's intellectual property to Nokia Siemens for an undisclosed fee.

By acquiring the Motorola unit, Nokia Siemens also benefits from established relationships with more than 50 telecom operators, while reinforcing its ties with carriers like Verizon Wireless, Vodafone and China Mobile. Nokia Siemens will receive about 7,500 employees from the Motorola unit.

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags business issuesMotorolaHuawei TechnologiesMergers / acquisitionsNokia Siemens Networksregulationgovernment

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Michael Kan

IDG News Service
Show Comments

Essentials

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Michael Hargreaves

Windows 10 for Business / Dell XPS

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?