Motorola Inc and Northern Telecom Ltd, which announced a nonexclusive agreement to make Motorola’s cellular equipment and Northern Telecom’s switches interfacecompatible this time last year (CI No 1,617), have now decided to pool all their cellular resources. They will start with a joint venture to sell cellular telephone network equipment in North America, taking on the Ericsson GE Mobile Communications Inc joint venture. The venture is expected to involve tens of millions of dollars in investment, and the transfer to the new venture of several manufacturing and sales facilities and hundreds of employees. The joint venture may move on to the European market in due course. The venture is seen as essential if the companies are to catch up AT&T Co and the Ericsson venture in the digital generation.
