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Technology shifts can be wrenching, but it's not as if telcos and their suppliers didn't know that wireless would eventually prevail in telephony. Yet unlike their new and younger rivals, Nortel, Lucent and other wire-line-equipment powers have found it difficult to take market share in next-generation technologies such as Internet telephony and wireless broadband. Recession has served, as it often does, to fast-forward a power struggle that promises to reshape forever how we communicate and consume media...

Author: /time Magazine | Title: Nortel's Nadir | 4/30/2009 | See Source »

...investors including Providence Equity Partners and Merrill Lynch Global Private Equity--was doomed from the moment it was signed in 2007. Less than two months later, global equity markets began to wobble, and credit got scarce. BCE's value sank from the take-out price of 34.62 a share to 16.85 on an auditor's report that debt from the proposed LBO would render the company insolvent. (Shares of BCE, with annual revenues of $14.3 billion, have since recovered to about 20 on the NYSE...

Author: /time Magazine | Title: Nortel's Nadir | 4/30/2009 | See Source »

...future is not, however, much brighter at Paris-based Alcatel-Lucent, the largest maker of fixed-line networks. Alcatel merged with Lucent Technologies in 2006 in a move intended to grow market share, but it has since axed from payroll 17,500 employees, including its ousted American CEO, Patricia Russo, in what has turned into a restructuring and cultural nightmare. "There are no bronze medals in the telecom-equipment market," says analyst Duncan Stewart of Toronto-based DSAM Consulting. He says Silicon Valley's Cisco Systems and Sweden's Ericsson have the biggest market share, fattest margins and most cash...

Author: /time Magazine | Title: Nortel's Nadir | 4/30/2009 | See Source »

...it’s difficult to do things on a larger scale,” Rupert said in response to the awkward exchange. “But it’s important to plant the seeds.” For his part, Dinkic said he was happy to share his time and opinions with the United States, which he called the key to solving the global crisis, and the Harvard community in particular. “The name of Harvard University is synonymous with quality,” Dinkic said. “It has a strong role...

Author: By Alexander R. Konrad, CRIMSON STAFF WRITER | Title: Serbian Official Offers Economic Advice | 4/29/2009 | See Source »

...private companies. In 2008 an estimated 300,000 small and medium-sized firms collapsed; from January to March this year, exports fell by 19.7%, putting more pressure on the survivors. "The crisis hits China's private sector really hard because China's private sector accounts for a larger share of China's manufactured exports," says Yasheng Huang, an MIT professor who wrote about the rising power of SOEs in his 2008 book [Capitalism with Chinese Characteristics]. "So essentially you have a private sector whose main source of customers has just disappeared...

Author: /time Magazine | Title: Why China's State-owned Companies Are Making a Comeback | 4/29/2009 | See Source »

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