AlcaLu might exit Mobile TV??

Reuters is reporting that the new CEO of AlcaLu might sell off the Mobile TV division, meaning AlcaLu exits Mobile TV altogether!

As the recession bites deep into the group’s remaining growth activities, Ben Verwaayen could be tempted to dump an investment-hungry business with no prospect of significant orders before 2010 as operator clients rein in spending. The company is set to unveil a major strategic review on Dec. 12, when investors will learn how the world’s third largest telecoms gear maker plans to halt losses as its core carrier market crumbles around it.

Analysts apparently have varying views on the opportunity that Mobile TV presents, ranging from pretty much “none”, to “some”. What is also presented for consideration, is that the mobile side generated 30% of 2007 group sales, and therefore is viable. Moreover, some analysts believe that getting rid of the Mobile play in a “fixed-mobile-convergence” positioning of the company could prove a major problem. I couldn’t agree more – you can’t be a convergence player if you don’t have all the elements of the solution….

So if they are not going to close the Mobile division, where else might they trim? Well, I wonder if the classic “restructuring” might come in to play heavily, and we see more depressing news involving “000’s” and also “people”…

It’s not all bad news though – apparently the sale of a significant stake in a company called “Thales” should generate “1.6 billion euros tax free” – that will provide a much needed injection of cash in to the company, and might just ward off the restructuring process from happening. Ultimately, only the Management team at AlcaLu know what’s going to happen – I’m going to think positively and assume this big Telecoms player is going to land on it’s feet, and start running forwards….

[Via: Reuters]