Nokia has dismissed rumors suggesting that Samsung is set to acquire its mobile network business. The Finnish telecom giant confirmed its commitment to the division in a recent statement, countering growing market speculation.
“A Nokia insider project related to these speculations does not exist. Nokia is committed to the success of its mobile networks business, a highly strategic asset for both Nokia and its customers,” the company clarified.
Despite the company’s assurances, discussions around a potential sale had been circulating for months. A Bloomberg report hinted at various options Nokia was exploring, including the sale or merger of its mobile networks division. This speculation led to a surge in Nokia’s stock price by over 7%, reaching approximately $4.48 per share on the New York Stock Exchange. Analysts estimate the value of the unit could be around $10 billion.
In the face of stiff competition from industry heavyweights like Ericsson and Huawei, Nokia has been focusing on optimizing costs while maintaining its product roadmap. The company has been successful in securing new deals and expanding its footprint among existing customers. This strategic move aims to enhance their competitiveness in the global telecoms market, especially with the growing deployment of 5G networks.
The industry remains watchful, given the potential impact any major restructuring or sale would have on the telecommunications landscape. For now, Nokia appears to stay the course, emphasizing innovation and strengthening customer relationships.
