Eu Approves $2.3 Billion Takeover of Infinera by Nokia
The EU Commission has unconditionally approved the $2.3 billion acquisition of U.S. optical semiconductors and networking equipment maker Infinera by Nokia, citing moderate market share for the combined companies and credible competition in the supply of optical transport equipment. The deal will make Nokia the second-largest vendor in the optical networking market, behind Huawei, with a 20% share. The acquisition is expected to enable Nokia to sell more equipment to major tech companies investing heavily in AI-driven data centers.
- This significant move by Nokia highlights the strategic importance of securing supply chains and partnerships in the rapidly evolving technology landscape, particularly in the face of growing competition from Chinese players like Huawei.
- What implications will this deal have for the global balance of power in the telecommunications industry, given Nokia's newfound position as a major player with ties to some of the world's largest tech companies?