Alcatel-Lucent has decided to cut its investment in Wi-Max, GSM and CDMA 1x networks as it tries to reduce costs.

Alcatel-Lucent has decided to cut its investment in Wi-Max, GSM and CDMA 1x networks as it tries to reduce costs. Instead, the company will step up its investments in long-term evolution technology as the world’s major operators plan to deploy 4G technology as well as continue investing in WCDMA and CDMA2000 1x EV-DO. Alcatel-Lucent has also stated that it will eliminate 1,000 management positions and 5,000 contracting jobs by the end of 2009. The company believes that the move will make it more agile by eliminating in-house duplication. Alcatel-Lucent expects the market for equipment and related deployment services to drop by 8 to 12 per cent at constant exchange rates, thus forcing manufacturers to adapt their business plans.