Nokia flogs DM and SMP businesses to Lumine

Nokia says the deal will enable its DM and SMP customers to benefit from Lumine’s ‘telecom industry expertise, financial resources, and strategy to invest in a long-term product roadmap.’

Nokia Device Management software is designed to let operators remotely manage home broadband access devices, as well as IoT sensors and devices. The Service Management Platform is supposed to improve customer care service and has a billion devices under management, we’re told.

Lumine will operate the business units as a standalone operation called Motive. Around 500 Nokia employees will jump ship to Lumine as part of the deal.

The sale was for €185 million, which includes a contingent consideration of up to €35 million based on the performance of the business during the first year following close.

“Nokia is pleased to enter this agreement with Lumine as another sign of progress in our strategy to focus investment in those areas most important to our business,” said Raghav Sahgal, President of Cloud and Network Services. “Lumine Group has the telecom industry expertise as well as the strategic focus and resourcing to drive the Device Management and Service Management Platform businesses forward to a stronger future.”

David Sharpley, Group President at Lumine Group added: “We are absolutely thrilled to welcome Device Management and Service Management Platform customers and employees to Lumine. Consistent with our autonomous operating model, we will be reviving the heritage Motive brand for this new stand-alone Lumine company and we look forward to partnering with Nokia to ensure operational continuity with all customers.”

Earlier this year Nokia announced that it would divest its VitalQIP products to Cygna Labs and make Red Hat the primary infrastructure platform for Nokia Core Network applications.

This deal with Lumine is expected to close in the first quarter of 2024.