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To: Wyätt Gwyön who wrote (4597)5/6/2000 1:53:00 PM
From: tero kuittinen  Respond to of 34857
 
They can't pull out - it would kill their mobile network division. Nortel is suffering badly in the GPRS and W-CDMA markets for not being able to promise end-to-end solutions. Operators tend to want a whole start-up package from networks to handsets. Ericsson would have already axed the phone division if it were an independent unit; but it's intertwined with the network business.

So even if the phone business of Motorola turns unprofitable, Mot can't cut its losses. It's stuck with the division, because it's an important sales vehicle for the network business. This is not a happy situation.

Tero