AT&T has reported a 2.1% drop in net income for the three months ending June 2013, to $3.82 billion, as rising costs ate into its revenues.
The telecoms giant flagged a 1.6% increase in consolidated revenues, to $32.1 billion, thanks to strong sales of wireless products including smartphones and mobile data plans.
The company boasted net contract additions in its postpaid wireless business of 551,000, up from just 296,000 in the three months ending March and 320,000 a year earlier, and said the performance was its best in a second quarter in four years.
Spanish operator Telefonica has agreed an €8.1 billion ($10.7 billion) takeover of E-Plus, the German mobile operator owned by KPN of the Netherlands.
By merging E-Plus with its own German subsidiary, Telefonica (Madrid, Spain) expects to become the largest operator in the country, overtaking both Deutsche Telekom (Bonn, Germany) and Vodafone (Dusseldorf, Germany).
The transaction is to be financed through a mixture of cash and stock in two phases but includes a total cash payment of €5 billion and a stake in the resulting company of 17.6%.
Huawei Technologies Co Ltd, the world's second largest telecom equipment maker, said on Wednesday it was on track to achieve 10 percent revenue growth in 2013 after posting a 10.8 percent increase in first-half sales.
Huawei (Shenzhen, China) also said it expected to generate a net profit margin of 7-8 percent in 2013, compared with about 7 percent in 2012, according to Reuters' calculations. The company did not give other figures in its brief statement.
Cisco Systems Inc said on Tuesday it plans to purchase cybersecurity company Sourcefire Inc for $2.7 billion, a deal that analysts say should spark more acquisitions in the industry as large vendors seek to profit from growing demand for IT security.
Cisco (San Jose, CA, USA), which has been seeking targets to boost its network security business, said it will pay $76 per share in cash for Sourcefire (Columbia, MD, USA), a premium of 28.6 percent over its closing price on Monday of $59.08.
M2M MVNO RACO Wireless has completed the acquisition of location-based services specialist Position Logic in a move aimed at improving its managed services offer to M2M customers.
Position Logic’s (Naples, FL, USA) technology allows enterprises to track and manage their assets through a web-based platform and the company claims it can integrate virtually any signaling device into its software to provide real-time monitoring across the globe.
Chinese equipment maker ZTE has reported a 23% increase in net profit for the first half of the year, to RMB302 million ($49.2 million), even though revenues slid by 11.6%, to RMB37.7 billion.
In a statement, the company blamed the revenues slippage on a decline in revenue from GSM and UMTS products in China as well as poor sales of GSM handsets and data cards both at home and abroad.
Egyptian fixed-line incumbent Telecom Egypt has signed a deal to provide transmission services to Etisalat Misr, the country’s number-three mobile operator and a subsidiary of United Arab Emirates giant Etisalat.
In a statement, Telecom Egypt (Cairo, Egypt) says the “long-term” agreement gives Etisalat (Cairo, Egypt) the right to use transmission services across its network immediately, citing the value of the contract as EGP200 million ($28.6 million) annually.
Vodafone-controlled Vodacom has agreed a deal to sell infrastructure it operates in Tanzania to Helios Towers Tanzania (HTT), an African infrastructure company whose investors include George Soros, Madeleine Albright and Jacob Rothschild, according to a report from the Financial Times.
The deal will see Vodacom transfer 1,149 towers to HTT and is valued at approximately $75 million, although Vodacom (Johannesburg, South Africa) is reportedly to acquire a 25% stake in HTT as well.
Orange chief executive Stephane Richard has lashed out at European regulators, claiming their opposition to consolidation is weakening the sector, in an interview with French newspaper Le Figaro.
The boss of France’s biggest telecoms operator believes there are too many operators and that mergers and acquisitions should be allowed, while also arguing for a single European regulator instead of numerous national regulatory authorities.
Nokia CEO Stephen Elop recalls a meeting in August 2011 in which the company's leadership struggled to decide on the name of its new smartphone, the first using Windows Phone software.
"We almost fell into the trap that had often befallen Nokia [Helsinki, Finland], which was... let them work on it a bit longer because we couldn't quite reach agreement," Elop said. Instead, he demanded a decision that day.
"Why wait till tomorrow or next week? We could make the decision today. And we did." Lumia was the result.