After speculations for some time Nokia has confirmed there are talks going on that could see them buy Alcatel-Lucent, the French smartphone and telecom equipment maker.
This arrangement could see the Finish firm Nokia increase and improve its business activities and become a bigger competition for its Competitor in the market the Swedish company Ericsson as well as create a way back for them into the smartphone market.
In a joint announcement both the French and Finish companies confirmed the arrangement and said that talks were going on but also stated that the talks could still break down.
If this arrangement sails through, Nokia could expand their business into the United States Market where Alcatel is a major supplier to operators like Verizon and AT&T.
This merger between the two companies could see them make their way back into the smartphone market.
Nokia is trying to ignite its image as a mobile company after selling its smartphone business which was not doing so well in 2013 to Microsoft.
Nokia will be hoping to leverage on Alcatel’s various offices and development centers which could help them break back into the market.
If the talks go through and are eventually successful the deal will see a major rise in the market share of Nokia.
The news of the deal saw a rise in the share price of Alcatel while there was a drop in the share price of Nokia.