Nokia is exploring strategic options as fierce competition puts pressure on the Finnish network equipment maker’s earnings, people familiar with the matter said.
The company is working with advisers to consider potential asset sales and mergers, the people said, asking not to be identified because the information is private.
Nokia shares have lost roughly a third of their value over the past year before news of its deliberations. Although Nokia has been struggling amid intense competition, it is one of only a handful of companies that make gear for 5G and other cellular networks, an area of increasing geopolitical focus and concern.
The Trump administration, in particular, has been concerned with who builds and runs cellular networks, with Attorney General Bill Barr recently suggesting the U.S. find ways to take a stake in Nokia or Ericsson, which along with China’s Huawei, is dominating the telecommunications equipment business.
Nokia is best known for its phones, although the company sold that business several years ago to Microsoft and used the brand to sell its Windows phones before exiting that business.
Full Content: Bloomberg
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