Over the weekend, Nortel announced it has sold its multi-service switch business to Swedish wireless giant Ericsson for US$65 million.
The deal, which is still subject to court approvals, includes the associated data packet network and services edge router product groups, as well as most customer contracts and certain intellectual property related to the multi-service switch business.
Nortel says “substantially all” employees working in the unit would have the opportunity to work for Ericsson.
“Our focus now is to work closely with Ericsson to ensure as seamless a transition as possible for our customers,” said John Luszczek, general manager of Nortel's multi-service switch business, in a statement.
In August, Adam Chowaniec and Pat DiPietro, under their new company Sanmite Technologies Inc., made a US$39-million “stalking horse” bid for the business unit, which makes Passport digital switches.
See also: DiPietro, Chowaniec behind local bid for Nortel unit
