If there was any uncertainty, Nortel made it clear that it is not – repeat not – selling any of its LTE patents under the planned sale of wireless assets to Ericsson. (Update: Two courts have approved Ericsson’s $1.13-billion offer, according to the Globe & Mail.)
The Wall St. Journal reports that Nortel lawyer Derrick Tay said Nortel will “license the appropriate LTE patents to Ericsson as part of the planned deal”.
The patents are what interests Research in Motion, which made a last-minute bid to participate in last week’s auction for the CDMA business and LTE R&D unit.
While RIM apparently wanted to bid for assets it didn’t really want, it was likely a strategic smokescreen that is working to perfection.
What RIM did was wave the Canadian flag and put the spotlight on how Canadians need to own world-class technologies rather than letting a foreign company own them.
The politicians, who had been happily ignoring Nortel, bit hard on RIM’s efforts. RIM now looks like the local hero, protecting Canada’s innovation and R&D assets.
It’s just a guess but when Nortel does eventually decide to sell the LTE patents, RIM’s going to bid aggressively, and lobby the federal government to support its efforts. This will put the pressure on Nortel to make a deal with RIM; RIM will pay a premium to make creditors happy, this will make the federal government happy, and Canada (aka RIM) will keep ownership of world-class technology.
Update: The Globe & Mail is reporting that the Ontario government could have a liability as much as $500-million related to Nortel’s pension fund.
Total liabilities and shareholders’ equity (deficit) $ 8 ,103 (14 Jan 2009)
Now, maybe in Canadian dollars…..
But sales are reported in USD…
fabrice002
yes4aapl:
also I don't understand why BK courts don't give creditors powers to decide about Nortel. The irony is that creditors want to restructure Nortel and BOD wants to sell all assets one by one
… I believe they do; that's what the Creditor's Committe is for. I think they have to first approve every deal before it even gets to the BK judge. NE1 know fer sure?
Nortel: We Still Own the LTE Patents
If there was any uncertainty, Nortel made it clear that it is not – repeat not – selling any of its LTE patents under the
plannedsale of wireless assets to Ericsson. (Update: Two courts have approved Ericsson’s $1.13-billion offer, according to the Globe & Mail.)The Wall St. Journal reports that Nortel lawyer Derrick Tay said Nortel will “license the appropriate LTE patents to Ericsson as part of the planned deal”.
The patents are what interests Research in Motion, which made a last-minute bid to participate in last week’s auction for the CDMA business and LTE R&D unit.
While RIM apparently wanted to bid for assets it didn’t really want, it was likely a strategic smokescreen that is working to perfection.
What RIM did was wave the Canadian flag and put the spotlight on how Canadians need to own world-class technologies rather than letting a foreign company own them.
The politicians, who had been happily ignoring Nortel, bit hard on RIM’s efforts. RIM now looks like the local hero, protecting Canada’s innovation and R&D assets.
It’s just a guess but when Nortel does eventually decide to sell the LTE patents, RIM’s going to bid aggressively, and lobby the federal government to support its efforts. This will put the pressure on Nortel to make a deal with RIM; RIM will pay a premium to make creditors happy, this will make the federal government happy, and Canada (aka RIM) will keep ownership of world-class technology.
Update: The Globe & Mail is reporting that the Ontario government could have a liability as much as $500-million related to Nortel’s pension fund.