The company said the move is part of its ongoing efforts to restructure its Cloud and Network Services (CNS) division.

The sale, which is due to be finalised during the first quarter of 2024, will involve the transfer of about 500 staff from Nokia to Lumine, which has been building up a broad portfolio of communications networking software systems as a result of multiple acquisitions for several years.

The device management tools help communication service providers (CSPs) remotely manage broadband customer premises equipment (CPE) units and other devices, such as IoT sensors, while the service management platform is used to monitor service performance for customer care purposes: Nokia says the software is being used in more than 150 deployments worldwide.

David Sharpley, group president at Lumine Group, noted:

“We are thrilled to welcome device management and service management platform customers and employees to Lumine. Consistent with our autonomous operating model, we will be reviving the heritage Motive brand for this new standalone Lumine company and we look forward to partnering with Nokia to ensure operational continuity with all customers.”

As part of the “active portfolio management” of the CNS division, Nokia had previously offloaded its cloud platform (CloudBand), container services and core network application development resources and staff (about 350 employees) transfer to Red Hat, and sold its VitalQIP DDI products to Cygna Labs in May: DDI comprises domain name system (DNS), dynamic host configuration protocol (DHCP) and IP address management (IPAM) tools.

News of the divestment comes as Nokia seeks ways to cut costs to meet its financial targets: The vendor announced in October that it was cutting up to 14,000 jobs as part of a company-wide restructuring process and was forced to revamp its medium-term financial targets recently following the loss of its radio access network (RAN) business at AT&T.

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The issue at hand is a planned rollout of new C-band spectrum that could bolster existing 5G coverage.

Recall that Pete Buttigieg, U.S. Transportation Secretary and Steve Dickson, the head of the Federal Aviation Administration (FAA) had asked AT&T and Verizon Communications to delay the planned introduction of new 5G wireless service over aviation safety concerns.

In a letter last Friday seen by Reuters, Buttigieg and FAA Administrator Dickson asked John Stankey, AT&T chief executive and Hans Vestberg, Verizon chief executive, for a delay of no more than two weeks as part of a “proposal as a near-term solution for advancing the co-existence of 5G deployment in the C-Band and safe flight operations.”

On Friday, the FAA announced that it had reached an agreement with the carriers. Although AT&T and Verizon pledged to create a “buffer zone” of two miles around some airport runways, the new announcement suggests that the two sides were working on a longer-term solution.

In a statement, the FAA said it “appreciates” the strong communication and collaboration from telecom companies. It added that it provided more precise data about the location of wireless transmitters, as well as deeper dives into how 5G signals can interact with sensitive aircraft components.

“The FAA used this data to determine that it is possible to safely and more precisely map the size and shape of the areas around airports where 5G signals are mitigated, shrinking the areas where wireless operators are deferring their antenna activations,” the FAA said. “This will enable the wireless providers to safely turn on more towers as they deploy new 5G service in major markets across the United States.”

In addition to the FAA, airlines have also expressed concerns about the 5G rollout. A joint letter signed by 13 major airline operators earlier in January warned of “catastrophic disruption” if the rollout continued as planned.

C-band spectrum is well-suited to aid in expanding 5G service in the U.S. The spectrum is currently used in countries like France with no reports of disruption to airline service.

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