Nortel puts mobility at the core of its strategic focus

IMS will be integral to giant’s planned ecosystem

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By  Published  September 15, 2006

Mobility and convergence is going to drive the telecommunications business forward, equipment maker Nortel said this month. The firm also announced a string of new contracts in Europe as it unveiled its new strategic focus.

Speaking at a press conference in London, Nortel president and CEO Mike Zafirovski said mobility and convergence, enterprise transformation and services and solutions will be the core of Nortel’s business going forward.

“The bandwidth glut left by the internet bubble bursting has disappeared and we clearly see the opportunity for next-generation optical and backbone transport networks,” he stated.

“We aim to capture the video explosion and, with IMS [internet protocol multimedia subsystem], ensure next-generation convergence services become a reality at an affordable price point.”

“Customers want to see their business applications integrated with their telephony systems and this lies at the heart of our enterprise transformation. We will create a powerful ecosystem of disruptive partnerships and — coupled with strong go-to-market capabilities — will re-invent voice and further blur the lines between IT and telephony,” Zafirovski explained.

“Expanding Nortel’s services capability is an integral part of our future. We will also expand our “reusable” solutions offerings to deliver powerful bundles and integration capabilities — freeing customers to integrate and manage as much or as little of their network as they want,” he added.

Nortel has already taken steps to pare down its activities — it recently sold off its universal mobile telecommunications system (UMTS) third generation high-speed mobile telephony access business to French communications supplier Alcatel for US$320million (see IT Weekly 9- 15 September 2006).

But the giant is also considering takeover opportunities and is rumoured to be in discussions with German electronics and electrical engineering group Siemens on merging the companies’ enterprise communications business, according to the news agency Reuters.

Nortel also announced a number of new customers in European markets at the conference.

These include Russian companies Golden Telecom, which will expand its optical network with Nortel, and ComCor Group, for whom Nortel will facilitate the provision of voice over internet protocol (VoIP) and broadband services.

Its other new customers are: Craig Wireless in Greece, The Daily Telegraph and The Economist Group in the UK and Swisscom in Switzerland.

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