Research In Motion on Monday publicly accused Nortel of effectively blocking acquisition bids through technicalities placed on the terms. Nortel is in the process of offloading a number of its product divisions following financial troubles, while RIM is allegedly willing to pay approximately $1.1 billion for the CDMA and Long Term Evolution Access businesses, along with "certain other Nortel assets."
Swedish network hardware maker Ericsson on Wednesday announced it will cut 5,000 worldwide jobs as its profits in the fourth quarter dropped by 31 percent, or about $202 million. The decline is said to be caused by restructuring charges and weaker handset sales, as its Sony Ericsson partnership last week announced its own fourth-quarter losses, shipping 6.2 percent less phones than in previous years. Ericsson said the joint venture had a fourth-quarter loss of $243 million.
Canada's Nortel is deploying a new network technology, one which it claims will at least quadruple the current bandwidth of most telecom companies. Reuters notes that while most companies are able to handle 10Gbps on their networks -- enough for 1,000 HDTV channels -- Nortel's new optical scheme supports as much as 40Gbps, without dramatic upgrades to a network. With enough investment, Nortel suggests, companies may be able to boost throughput to 100Gbps.
Canada's Nortel is the latest to settle a patent dispute with VoIP carrier Vonage, Reuters reports. Unlike the company's recent legal problems, however, Vonage was in this case the originator, having inherited a 2004 lawsuit when it bought Digital Packet Licensing in 2006; in question were patents relating to 411 and 911 services, along with so-called "click-to-call" technology. Nortel filed a counterclaim earlier this month, which may have been the trigger for the settlement.
Crucially for Vonage, which has been in serious financial jeopardy for several months, the agreement will require no cash damage payments. Instead, each side will let the other license three of its patents in a limited arrangement.
