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Ericsson Fends Off Criticism After Nortel Buy

Ericsson, which is trying to get a blessing from Canada’s government for its purchase of Nortel Networks’ wireless assets, is firing back at those who claim taxpayers helped finance Nortel’s asset development, as well as the possibility that the deal represents a threat to national security.

BlackBerry-maker Research in Motion has been one of the most vocal critics, implying that it would be against Canadian interests if the deal gets the final OK from the Canadian government. Ericsson defends the purchase, saying it will have many domestic benefits, securing a large number of high paying jobs.

Even national security has even come up as a talking point. In a statement, RIM called Nortel’s long-term evolution wireless (LTE) “critical infrastructure technology” and that it “should therefore be owned and continued to be developed by Canadians.”

Ericsson rebuffed that idea, saying as an equipment supplier, it won’t be associated with sensitive information.


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