Huawei likely to acquire 3Com

NEW DELHI, INDIA: Global networking and telecommunications supplier Huawei Technologies Co. Ltd. is likely to acquire computer network infrastructure manufacturer 3Com.

According to sources, the deal has been finalized and Huawei is likely to make the formal announcement on July 11.

Speaking to CyberMedia News Gaurav Jindal, regional sales manager (Corporate and BFS), 3Com said that he was unaware about the deal. “I have no information on the deal till now. It would not be possible for me to talk about it,” Jindal said.

Huawei officials were not available for comments.

In 2003 3Com entered in to a joint venture with Huawei, enabling it to sell and re-brand products under the venture Huawei-3Com (H3C). However, in 2007 the 3Com bought back 49 per cent of Huawei’s stake and renamed the entity as 3Com.

According to industry sources, 3Com has stopped the marketing campaigns in the market for the last couple of months. Eric Zhao, country manager, 3Com H3C has been relocated to China.

Huawei has announced to have won a GSM expansion contract valued at approximately $700 million with China Mobile last week.