Nokia Inks EUR 185 mn Deal to Sell Device and Service Management Business to Lumine

Nokia has finalized the sale of its Device Management (DM) and Service Management Platform (SMP) businesses to Lumine Group Inc in a transaction valued at EUR 185 million.
NOKIAThis strategic move by Nokia aims to allow its DM and SMP clientele to leverage Lumine’s specialized telecom industry expertise, robust financial resources, and a long-term investment plan tailored to advance product development and innovation.

CNS, the division overseeing this transaction, underscores its focus on advancing technology leadership areas while actively managing its portfolio. Over the past two years, CNS has executed a clear strategy aimed at outpacing market growth by establishing dominance in key sectors such as 5G Core, secure autonomous operations, private wireless and edge, network as code, and Software as a Service (SaaS).

Earlier this year, Nokia divested its VitalQIP products to Cygna Labs Corp and shifted its primary infrastructure platform for Nokia Core Network applications to Red Hat.

Under the deal, Lumine Group intends to operate the acquired DM and SMP units as a separate entity, to be named Motive. Approximately 500 Nokia employees associated with Device Management and Service Management Platform are expected to transition to Lumine Group.

The agreement includes a contingent consideration of up to EUR 35 million, contingent upon the business’s performance in the first year post-closure. The transaction is slated for closure in the first quarter of 2024.

Nokia’s Device Management software plays a pivotal role for communication service providers, enabling remote management of home broadband access devices and IoT sensors from diverse vendors. The Service Management Platform, spanning over 150 deployments worldwide, enhances customer care services, overseeing the management of more than 1 billion devices.