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Lucent will not deliver network equipment for GSM/GPRS/EDGE and UMTS for AT&T Wireless' new American network. Instead, Ericsson, Nokia and Nortel will battle over contracts worth nearly $5bn.
"Lucent has informed us that they will cease investing in development of GSM equipment for our network. We are now negotiating with Ericsson, Nokia and Nortel to fulfil our needs," AT&T Wireless spokesman Rich Blasi tells Elektroniktidningen.
At the end of last year, AT&T Wireless was the first of the big American mobile operators to go for European GSM technology. It chose Ericsson, Nokia, Nortel and Lucent as its network equipment suppliers. Now, Lucent is no longer one of them.
"We will not develop GSM network equipment for 850MHz and 1,900MHz. We will make no further investments into these networks, for which AT&T Wireless was our only client," confirms Lucent spokesman Ishiro Kawasaki.
Instead, Lucent intends to concentrate on CDMA, CDMA2000 and UMTS. According to Kawasaki, new commercial UMTS products will be launched in mid-2002.
However, sources at Ericsson believe that Lucent could soon exit the UMTS market as well. This would strengthen Ericsson's position as the world's leading UMTS supplier.
Lucent's exit from the GSM market is seen as excellent news for both Ericsson and Nokia, who now have one less competitor on a market estimated to be worth tens of billions of dollars.
At the end of last year, AT&T Wireless was the first of the big American mobile operators to go for European GSM technology. It chose Ericsson, Nokia, Nortel and Lucent as its network equipment suppliers. Now, Lucent is no longer one of them.
"We will not develop GSM network equipment for 850MHz and 1,900MHz. We will make no further investments into these networks, for which AT&T Wireless was our only client," confirms Lucent spokesman Ishiro Kawasaki.
Instead, Lucent intends to concentrate on CDMA, CDMA2000 and UMTS. According to Kawasaki, new commercial UMTS products will be launched in mid-2002.
However, sources at Ericsson believe that Lucent could soon exit the UMTS market as well. This would strengthen Ericsson's position as the world's leading UMTS supplier.
Lucent's exit from the GSM market is seen as excellent news for both Ericsson and Nokia, who now have one less competitor on a market estimated to be worth tens of billions of dollars.
Gittan Cedervall
