Nortel is continuing its aggressive drive for business in Asian markets with two new deals for equipment research and development.
On Sunday, Nortel CEO Bill Owens announced agreement on creation of a joint venture with LG Electronics in Seoul, South Korea. The deal to develop both hardware and networking solutions will be a 50/50 venture, Nortel said.
“The proposed joint venture also reflects the companies’ commitment to leverage best-in-class resources and expertise by joining forces with leading telecommunications players in key markets,” Nortel said in a statement.
Also over the weekend, Nortel announced a partnership with China Putian Corporation for research, design and manufacture of third-generation mobile wireless devices. The companies said they would build a facility in China to support the effort. The new agreement expands an earlier one calling for joint research.
Nortel announced plans recently for an R&D complex in China.
“This agreement means that we’ll work exclusively with one another,” Paul Barta, a Nortel spokesman, told NewsFactor, “and that will bring huge market advantages for both companies.”
China Putian, one of China’s largest telecommunications firms, is state owned. It was selected as Nortel’s 3G China partner because the company has broad reach and a high profile, NewsFactor said.
Nortel: www.Nortel.com
