Nokia wants to buy Comptel

wellington-bootFormer maker of Wellingtons, Nokia wants to buy company Comptel for $370 million as part of a cunning plan to expand its software services business.

Nokia and its rival, Ericsson and Huawei have been suffering as 4G mobile broadband equipment demand has peaked and the move to the next-generation 5G networks are still years away.

Nokia said its customers were now turning to software to make their networks more intelligent.

“The planned acquisition is part of Nokia’s strategy to build a standalone software business at scale by expanding and strengthening its software portfolio and go-to-market capabilities with additional sales capacity and a strategic partner network,” Nokia said in a statement.

Comptel had sales of about 100 million euros in 2016, said its board of directors, and shareholders so far had backed the offer.

Last year, Nokia bought Franco-American group Alcatel-Lucent in a 15.6 billion-euro all-share deal and is cutting thousands of jobs as it seeks to reduce annual costs by $1.3 billion by 2018.