Nokia buys out, renames Nokia Siemens Networks

Nokia has finished its buyout of the network-building joint venture

Nokia Siemens Networks CEO Rajeev Suri spoke on Sunday in Barcelona on the eve of Mobile World Congress.

Nokia Siemens Networks CEO Rajeev Suri spoke on Sunday in Barcelona on the eve of Mobile World Congress.

Nokia finished its buyout of Nokia Siemens Networks on Wednesday and renamed the company Nokia Solutions and Networks, or NSN.

Nokia and Siemens formed the company in 2006 as a joint venture focused on wired and wireless infrastructure. But Nokia Siemens had difficulty competing against mobile network giants Ericsson and Huawei Technologies, and in 2011 it launched a restructuring in which it cut 17,000 jobs and narrowed its focus to mobile broadband and related services. Nokia's own problems keeping up in the handset business made the venture's problems worse, analysts said.

Since the restructuring, Nokia Siemens has made a comeback, partly on the strength of LTE carrier deals in the U.S., Japan and South Korea. It has posted strong profits in the past four quarters, Nokia said on Wednesday. For the second quarter of this year, Nokia Siemens made €8 million (US$10.5 billion) while Nokia as a whole lost €278 million.

In July, Nokia agreed to buy back Siemens' share of the company for $2.2 billion and make it a wholly owned subsidiary. The leadership of Nokia Siemens won't change with the buyout. Rajeev Suri will remain CEO and the company's executive board will remain the same, Nokia said.

Nokia has now returned to making both handsets and mobile networks, a combination that several major vendors have given up on. Ericsson, Motorola and Alcatel-Lucent once had both device and infrastructure divisions. Huawei, ZTE and Samsung are still in both businesses.

Stephen Lawson covers mobile, storage and networking technologies for The IDG News Service. Follow Stephen on Twitter at @sdlawsonmedia. Stephen's e-mail address is stephen_lawson@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags mobileMergers and acquisitionsNokiabusiness issuesrestructuringNokia Siemens Networks

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

Stephen Lawson

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?