Reginal Thomas
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Alcatel's undersea cables unit to be taken up by Nokia

Alcatel Lucent announced on Tuesday it will not spinoff its undersea cables business, so the strategic business which underpins the global internet will be taken by Nokia once it completes its acquisition of the Franco-American firm.

Nokia said the $17 billion acquisition of Alcatel-Lucent was part of the larger plan to further compete with market leader Ericsson and Huawei. Alcatel has said in the pass it planned to either sell a majority stake in Alcatel Lucent Submarine Networks or list it as a separate entity, but on Tuesday it said it would keep the unit instead. Meaning the unit become part of the new Nokia group once the purchase is complete.

When asked if there were any government concerns from France about the acquisition an spokesperson for Alcatel-Lucent said, “We constantly exchange with the government, they are aware of our decision.” He also added, “This will be part of discussions, but there was no objection.”