Alcatel Lucent has completed the sale of its IP telephony and Ethernet switching equipment activities. The company will be facing stiff competition from Microsoft and Cisco Systems. It will also have to make more acquisition to grow further. Both the segments are highly competitive and dynamic and ever changing. The popularity of smartphones and technologies like software specific networking and cloud based communication services have made it necessary for companies to innovate and be in touch with the latest technological developments.
The sale of Enterprise subsidiary was first announced by Alcatel- Lucent in February when it revealed that it has received an order from Huaxin. Huaxin is an industrial investment company with focus on information and communication technology.
Alcatel-Lucent Enterprise CEO Michel Emelianoff was very optimistic about the company’s Open Touch platform. It also includes conversation which allows users to start a call on Deskphone and then transfer it to a laptop, smartphone or a tablet. Alcatel-Lucent is the leader in implementation of software-defined networking. Alcatel-Lucent Enterprise has 2700 employees and will be headquartered in Colombes near Paris. Experts have been cautious about Alcatel Lucent Enterprise future. This optimism is based upon Huaxin willingness to invest. The products are very good but the only problem is that it is a very competitive market.
There are many other companies besides Huaxin who are jostling for space and have a piece of the enterprise IT and communication market. Huawei and ZTE are forcefully pushing to get a grip with large portfolios. Lenovo has just announced that it has clinched a deal and acquired the IBM’s server business.
Most experts feel that this expansion bodes well for competition. Preconceived notions about Chinese vendors are getting broken. Anti Chinese sentiments range high in North America and most Chinese companies including Huaxin has endured it. Europe is much better in comparison to America since there is no prejudice against Chinese companies.