Nokia reveals structure of post-merger company

Finnish networking outfit Nokia has detailed the organizational structure and broad strategy of the company that will result from its acquisition of Alcatel-Lucent.

Unsurprisingly the senior leadership team will be dominated by former Nokia execs. The President/CEO remains Rajeev Suri and his executive team is as follows:

  • Nokia CFO Timo Ihamuotila to remain CFO
  • Nokia Chief Business Officer Ashish Chowdhary to become Chief Customer Operations Officer
  • Nokia EVP of mobile broadband Marc Rouanne to become Chief Innovation and Operating Officer
  • Nokia HR boss Hans-Jürgen Bill to become Chief Human Resources Officer
  • Nokia VP of Corporate Strategy Kathrin Buvac to become Chief Strategy Officer
  • Nokia CMO Barry French to remain as CMO
  • Nokia Chief Legal Officer Maria Varsellona will also retain her role

The combined company will be comprised of five main business groups as follows, all of which will report directly into Suri:

  • Mobile Networks – headed up by current Nokia CFO/COO Samih Elhage – will include the combined radio portfolio and most of their converged Core network portfolios including IMS/VoLTE and Subscriber Data Management, as well as the associated mobile networks-related Global Services business. This unit would also include Alcatel-Lucent’s Microwave business and all of the combined company’s end-to-end Managed Services business
  • Fixed Networks – headed up by current A-Lu President of fixed networks Federico Guillén – will simply be the current A-Lu fixed network business.
  • Applications and Analytics – headed up by current A-Lu President of IP platforms Bhaskar Gorti – will combine the Software and Data Analytics-related operations of both companies.
  • IP/Optical Networks – headed up by current A-Lu President of IP routing and transport – will combine the current Alcatel-Lucent IP Routing, Optical Transport and IP video businesses, as well as the software defined networking (SDN) start-up, Nuage, plus Nokia’s IP partner and Packet Core portfolio.
  • Nokia Technologies – the R&D and patent licensing arm – will remain as it currently is and continue to be run by Ramzi Haidamus.

“We are making very good progress on being ready to operate as a combined company when the proposed exchange offer closes,” said Suri. “After a thorough selection process, I am pleased to announce the company’s future organizational structure and exceptional leaders who will help chart the next steps in Nokia’s transformation.

“Our goal is to position each business group for clear leadership in its particular market and to create a combined portfolio that provides the scope and scale our customers expect, underpinned by a strong focus on innovation, quality and superb execution. We aim for all our business groups to be innovation leaders, drawing on the combined company’s unparalleled R&D capabilities to deliver leading products and services for our customers, and ultimately ensure the company’s long-term value creation.”

Alcatel-Lucent is to continue to operate its undersea cables business, Alcatel-Lucent Submarine Networks (ASN), as a wholly-owned subsidiary, and HERE is in the process of being sold off. The new company looks pretty good on paper, now comes the hard part.

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