Ericsson bids $1.15B to buy Telcordia

Ericsson, the Swedish telecommunications vendor which occasionally steps into the cable space, and Telcordia Technologies, the New Jersey-based telecom equipment player which generally avoids cable, will become one if Ericsson's $1.15 billion takeover bid is approved.

Telcordia has been on the market for a while, so it appears that its owners, Providence Equity Partners and Warburg Pincus, are okay with the deal. Those two private equity investors bought Telcordia from SAIC in 2004 for $1.35 billion in cash--supposedly a good price at that point in the telecom slump.

For Telcordia, it will be another fork in a path that began when the company was called Bellcore and it provided software to the seven RBOCs or "Baby Bells" as they were then known. As with every company still in business, Telcordia has been transitioning its product lines from legacy billing and customer care provisioning to those focused on advanced IP platforms.

For more:
- the Wall Street Journal (sub. req.) has this story

Related articles:
Ericsson's Q4 profit rises as mobile broadband demand surges
Telcordia's owners hope to get $1.5 billion for company

Suggested Articles

Cable provider WOW! is launching its WOW! tv+ product in three new markets after last month pulling back on marketing for the new service.

YouTube TV’s price hike gives cable operators breathing room to run the next big TV race, which will be fought and won on the TV UX battleground.

Charter Communications said it will add five “Latino targeted TV networks” to its Spectrum TV lineup.