Nortel to auction off Carrier Networks assets

The Nortel fire sale continues with the company this week announcing the auction of its Carrier Networks Packet Core assets.

The Packet Core Assets consist of software to support the transfer of data over existing wireless networks and the next generation of wireless communications technology, including relevant non-patent intellectual property. The deal will however include a non-exclusive license of relevant patent intellectual property.

Earlier this month, enterprise networking firm Avaya has emerged as the winning bidder for Nortel’s own corporate communications unit, with an offer of close to $1bn. It is also thought the company is still considering the sale of its crown jewels—its Metro Ethernet unit, which it took off the market in February. Nortel has only said that it is in advanced discussions with other parties with a view to selling other parts of its business.

In early August, Mike Zafirovski, president and CEO of Nortel announced his resignation from the once mighty firm, effective immediately. After overseeing the break up of much of the business, Zafirovski said he “believes the company has reached a natural transition point”. The company’s board of directors has also been reduced from nine to three, with the business now considered stable.