Nortel is discontinuing its WiMAX product line and has cut a deal to resell WiMAX products from Alvarion.
The move will allow the company to divert R&D spending that would have gone to WiMAX development to Long Term Evolution (LTE) wireless development.
The move is a response to two trends, according to Nortel. Major telcos worldwide – including China Mobile, NTT DoCoMo and Verizon – are moving more rapidly toward upgrading their cellular networks to LTE technology, while the WiMAX market is not developing as quickly as Nortel had anticipated.
LTE should provide transmission rates sufficient to sustain video-based applications and features on mobile devices.
Nortel and Alvarion have agreed to integrate the latter’s WiMAX access platform with the latter’s IP-based core network and backhaul systems. Nortel will also resell Alvarion’s WiMAX products.
Nortel said that it will help its WiMAX customers transition to Alvarion products.
Nortel has appointed Scott Wickware as the GM of WiMAX to drive the integration of Nortel and Alvarion systems and applications.
Alvarion said the development of its portfolio of WiMAX base stations will be accelerated by Nortel’s contribution of resources, expertise and funding to enhance the development of the joint solution.
More Broadband Direct: