European commission approves the acquisition of Alcatel-Lucent by Nokia

Nokia’s acquisition of Alcatel-Lucent, a telecoms equipment company for $16.6 billion (£10.7 billion) has now received a green light by the European Commission. According to the Commission, the acquisition would not raise any competition concerns because “the parties are not close competitors [and] a number of strong global competitors will remain active.”

Europe is the center of Nokia’s strength in the telecoms industry. Plus, with Ericcson still in operation competing with major Asian rivals such as Samsung, Huawei and ZTE, according to the Commission, the competitive market still remains for the telecoms equipment. Also, Alcatel-Lucent’s main presence is in North America.

This can be considered as a milestone for Nokia who took a leap from consumer markets to business and industry clients. The company is famous for their failure to keep up with the mobile market, and had to sell their handset business to Microsoft for $7.6 billion (£4.9 billion).

Nokia have also been busy selling off their maps business (Here Maps) to a consortium of three of the leading automotive companies in the world – Daimler, Volkswagon and BMW. Though the exact bidding price isn’t known, it is reported that it will be slightly more than $2.71 billion (£1.7 billion). At one point, Uber was interested in purchasing Here Maps, but the ride-sharing company apparently bowed out of the bidding process weeks ago leaving the German consortium as the sole bidder.