Alcatel, the French telecom equipment provider, is planning to buy Nortel’s UMTS cellphone network unit for $320 million. The company is aiming to become the world’s third largest supplier of 3G wireless technology. According to Alcatel, the transaction would strengthen the group’s position in mature Western European mobile markets and increase its R&D capacity. Under the non-binding agreement, Alcatel would buy the UMTS radio access business with related assets including its product portfolio, patents and contracts to serve an additional 14 customers.
