News
Avaya selected as Successful Bidder for Nortel's Enterprise business - 16 Sep 2009
Nortel has announced that Avaya is the winning bidder for Nortel's Enterprise Solutions division. Avaya has agreed to pay US$900 million in cash to Nortel, with an additional pool of US$15 million reserved for an employee retention program.
The sale requires formal approval by the courts and will need to be approved by Anti-trust and various regulatory bodies. The sale is expected to close late in the fourth quarter of 2009 and both parties are targeting to close in early December.
Current Views of the Portfolio and Roadmap
Both Nortel and Avaya have world-class portfolios of communications products and applications. We expect Avaya will evaluate the existing portfolios of both companies and, where they overlap, determine which products might be continued, which may be merged and potentially which may be phased out. Until the sale closes, which is currently targeted for December this year, no announcements can be made, however, Avaya has stated it expects to communicate the target portfolio and roadmap within 30 days of transaction close and looks to provide continuity for both Nortel and Avaya customers.
Avaya has announced that it expects to:
- continue to ship existing products for approximately 12-18 months post close;
- honour product life-cycle support as set forth in customer contracts acquired in the transaction; and
- adopt, for data products, the Nortel roadmap and investment plan.
Obviously, the above remains subject to change given the integration planning efforts currently underway.
What does this mean for our Clients?
As stated above, Avaya intends to continue shipping Nortel products for 12 - 18 months after the sale close and secondly intends to continue to honour lifecycle support commitments. This should provide reassurance to Nortel voice customers considering any planned investment in additions to their Nortel environment. That said, customers should also be aware that Avaya has confirmed that it is committed to its core communications architecture: Avaya Aura™ and that Nortel customers should consider Avaya Aura™ technology as a means to migrate to SIP while integrating with their existing Nortel investments.
In terms of data portfolio, Avaya has stated that it views Nortel's data business as complementary to its core business and intends to protect customer investments in Nortel's data products, after closing expecting to adopt the Nortel roadmap and investment plan for data products.
Connect Communications is a long-standing Nortel Gold Solutions Partner and an Avaya Gold Business Partner, which we believe places us in the ideal position to help our clients to derive the most out of their current investment in communications technology, whether that's Nortel, Avaya or any other platform, and to evolve their current environments, at a pace which suits them, to deliver real business advantage.
If you would like to gain an understanding of the Avaya portfolio, the Avaya Aura proposition or how you can integrate Nortel and Avaya technology, we will be happy to arrange a visit for you to our demonstration facility in our London offices.
Read Avaya's "Transaction Overview and FAQ"
|
|
|
|
|
|
|
|
|
|
Archives
Information Technologists' Company Enlists The Support Of Connect Communications
Connect awarded best SME sales person award
