Huawei sues Motorola to block Siemens deal

Huawei Technologies of China has sued Motorola this week in an effort to block the company's sale of its network equipment unit to Nokia Siemens.

The company wants the $1.2 billion deal to be restructured to avoid infringing on Huawei's IP rights.

Huawei is demanding the deal exclude any equipment that is based on GSM or UMTS standards.

Allegedly, Motorola does not have a material UMTS business as it resells Huawei's UMTS equipment for wireless service and therefore should not be able to sell that gear.

Motorola split its company in half earlier this year, seperating its phone and set-top operations from its other core operations.

Both companies involved in the deal are still awaiting approval from Chinese anti-trust authorities, but say the case is "without merit" and hope to close in the next month.Permalink | Comments

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