EC Approves Nokia's Acquisition of Infinera

The European Commission has approved the proposed acquisition of Infinera by Nokia. The EC concluded that the transaction would raise no competition concerns in the European Economic Area.

Both Nokia and Infinera supply optical transport equipment used to transmit data through optical fiber cables. According to the parties, the Transaction will allow the merged entity to attain the requisite scale in its optical networking business to accelerate its product roadmap and compete more vigorously with larger competitors in the market.

The EC investigated the impact of the transaction on the global or EEA markets for the supply of optical transport equipment, as well as on the narrower segments of such markets based on the type/application of the equipment. Based on its market investigation, the EC found that Nokia and Infinera's combined market shares in the global or EEA markets for the supply of optical transport equipment, as well as in the narrower segments of such markets, are moderate.

It also found that there are several credible competitors in those markets that, following the transaction, will continue to exert sufficient competitive pressure upon Nokia. The EC concluded that the proposed acquisition would not raise competition concerns in the EEA and cleared the transaction unconditionally.