Nortel Networks Ltd. is making organizational changes in its GSM and UMTS access businesses, which could lead to a selling of the company’s UMTS access business, according to UBS Investment Research. Nortel’s heads of both its WiMAX and Converged Core Networks “have moved on.”
Nortel spokeswoman Jamie Moody confirmed that Mark Whitton, vice president and general manager of WiMAX and Wireless Mesh Networks, left the company to pursue other endeavors. A replacement has not been named.
Moody also confirmed that Alan Stoddard, vice president and general manager of Converged Core Networks, has been reassigned within the company, but his new role has yet to be determined. Stoddard’s replacement is Alfredo DeCardenas, vice president and general manager of converged multimedia networks and GSM/UMTS voice core.
The Converged Core Networks division is home to Nortel’s IMS and WiMAX operations, both of which Nortel has consistently deemed part of its strategic areas of focus going forward.
In an e-mail, Nortel’s WiMAX representative stated, “Nortel’s goal is to lead the WiMAX industry with the highest-performing, lowest-cost MIMO-enabled networks and devices. This is the shared ambition of our entire organization, and the top priority of hundreds of engineers and functional specialists. We remain on-track, and it is a testament to the entire WiMAX team that this anticipated management transition is taking place with minimal impact.
“We look forward to introducing the marketplace to our new general manager very soon, and would like to reiterate that with our industry-leading technology portfolio, and world-class team, we fully intend to be the major force in WiMAX.”
Regarding the company’s plans for UMTS, Moody said Nortel is deciding whether to bulk it up, partner or divest.
“UMTS is a tough business as there are too many players in the industry. Nortel CEO Mike Zafirovski has pointed out that Nortel’s UMTS business is not performing at the level necessary to continue as status quo,” Moody said.
