EU clears Nokia $2.3b takeover of US firm Infinera
By : AFP
Date:
26 February 2025 6:13pm WAT
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(FILES) In this file photo taken on February 26, 2019 people visit the Nokia stand at the Mobile World Congress (MWC) in Barcelona. - Shares in Nokia tumbled 20 percent on Thursday, October 24, 2019 after the Finnish telecommunications equipment maker lowered its earnings outlook due to intense competition to build the latest 5G mobile networks. While returning to profit in the third quarter, the company said it was lowering its targets for earnings and margins for this year and 2020 "due to margin pressure, additional 5G investments and additional digitalization investments." (Photo by Josep LAGO / AFP)
(FILES) In this file photo taken on February 26, 2019 people visit the Nokia stand at the Mobile World Congress (MWC) in Barcelona. - Shares in Nokia tumbled 20 percent on Thursday, October 24, 2019 after the Finnish telecommunications equipment maker lowered its earnings outlook due to intense competition to build the latest 5G mobile networks. While returning to profit in the third quarter, the company said it was lowering its targets for earnings and margins for this year and 2020 "due to margin pressure, additional 5G investments and additional digitalization investments." (Photo by Josep LAGO / AFP)
The logo of the Finnish telecoms company Nokia is pictured on its headquarters in Espoo, Finland, on March 16, 2021. – Finnish telecoms equipment maker Nokia said it would slash up to 10,000 jobs over the next two years as part of a 600-million-euro ($715-million) cost-cutting programme. (Photo by Heikki Saukkomaa / Lehtikuva / AFP) / Finland OUT
The EU’s powerful competition regulator on Wednesday gave the green light for a $2.3 billion takeover of US optical semiconductors company Infinera by Finland’s Nokia.
The telecoms firm announced the acquisition in June last year.
“The European Commission has approved unconditionally… the proposed acquisition,” it said, after concluding “the transaction would raise no competition concerns”.
Both companies supply optical transport equipment used to transmit data through optical fibre cables and the European Union said the merger would allow the firms to compete with larger competitors in the market.
The EU is keen for European tech companies to scale up to keep pace with the United States and China as the 27-country bloc focuses on boosting its economic growth.
