HIGH WYCOMBE, U.K.-Tellabs said it will outsource manufacturing of its international products and transfer ownership of its Espoo, Finland-based manufacturing operations to Elcoteq Network Corp.
The company has notified certain employees they will become employees of Elcoteq following required approvals, expected by the end of 2003. Tellabs also plans to align its international research and development spending with the industry average, following heavy investing during the past 18 months. Approximately 300 employees are expected to be affected by the changes.
“These decisions are difficult but essential to move Tellabs along the path to profitable growth,” said Anders Gustafsson, president of Tellabs International. “The outsourcing of manufacturing enables Tellabs to focus 100 percent of our energies on product development and customer relationships as Elcoteq focuses on its core business of electronics manufacturing services.”
