Nokia Siemens Networks (NSN) has announced that the company is selling its fixed line broadband access business to US networking equipment company Adtran, as the company undergoes a major restructuring to cut annual costs and focus on mobile broadband. The transaction is expected to close by the end of April 2012.
Approximately 400 people, including engineering, R&D, sales and professional services employees, are expected to transfer to ADTRAN globally. The change would broaden ADTRAN’s business opportunities, providing the company complete access to the Broadband Access intellectual properties, technologies and the established customer base of Nokia Siemens.
“We believe that this planned divestment would provide our existing fixed broadband access customers with a continuous high-quality service from a company focused on their needs. The planned sale is in line with our new strategy to increase our focus on the mobile broadband and services market,” said Marc Rouanne, head of Mobile Broadband at Nokia Siemens Networks.
Last month, Nokia Siemens stated that the company would cut down 17,000 jobs worldwide, by end-2013 to reduce operating expenses, production overhead, and to focus on its mobile broadband business.