Alcatel and Lucent Technologies have entered into a definitive merger agreement that will create a global communications powerhouse, the companies announced April 2. The announcement did not address what may happen to Alcatel’s satellite manufacturing unit, Alcatel Alenia Space.
According to reports, Alcatel is planning to sell the unit to another European company. Thales announced that it will hold a board meeting April 4 “to further evaluate a project aimed at developing Thales and strengthening the existing partnership between Thales and Alcatel in the context of the desirable consolidation of the European defense, space and security industry.” EADS also has expressed interest in Alcatel Alenia Space.
The combined Alcatel-Lucent will be able to offer wireline, wireless and converged networks to customers, and based on 2005 reports, will have revenues of about $21 billion euros ($25 billion).
