Alcatel and Lucent to Merge 174
Cappella writes "It is confirmed. Alcatel and Lucent are combining to form a USD $25 billion entity. This marks a new wave of telecommunications company consolidation in the next few months to come." They first tried to work out a merger five years ago, but finally, at long last, it's come to fruition.
Would you call this fruition?! (Score:5, Insightful)
From article: Close to 9,000 jobs, or about 10% of the companies' workforce will lose their jobs as a result of the merger.
If I was a marketing person I would definitely try to side-step this fact, unless I sugar-coated it by saying how this makes the company more efficient.
Re:How long can this consolidation go on for ? (Score:5, Insightful)
-Charles
Re:Would you call this fruition?! (Score:2, Insightful)
Why? (Score:1, Insightful)
Cite some supporting facts, because right now you come across as just another right-wing big-mouth jerk-off who licks his own ass for lunch and gets all his "thinkin' points" from neocons and rednecks so he knows "who we's gonna be hatin' this week".
Re:How long can this consolidation go on for ? (Score:2, Insightful)
If any company had anything resembling world domination, it was them.
The irony is that at that time Govt. broke the company up to 7 segments, and now they are trying to survive by merging.
Fall from grace, indeed.
my $0.02 Worth from a former employee of Lucent (Score:5, Insightful)
If were a cartoonist, this is the cartoon I would draw.
Frame #1: A fat PHB with the Red lucent symbol on his back, he is screwing an employee with the caption of "It's just business"
Frame #2: A french executive from Alcatel is screwing the fat PHB from the first frame with the caption of "How do you like it?"
The red lucent symbol will always remind me of how my ass felt after the management had their way with me. No romance, no dinner, no flowers, just a royal pounding in the ASCII chart!
Another fish to be fried (Score:2, Insightful)
Re:How long can this consolidation go on for ? (Score:1, Insightful)
According to some, it's the employees who work hard and produce value.
According to others, it's the customers who pay for goods and services.
Maybe both.
But the merging companies shit on both - employees are fired and customers will not get a better deal (why would they? A dominating company can provide cheaper, worse services, without being afraid of competition - legally they would have to do that, to keep the share holders happy).
The share holders do NOT bring profits to the company - they TAKE the profits, and are still considered number one in the business. That's because they own the business without lifting a finger. So the whole framework is screwed, not just a single business.
A company that controls 90% of the market, after mergers, will NOT provide better service to its customers. It's only competition that is good for the customers. Mergers are ANTI-COMPETITON and are BAD for the market, for the customers, and for the employees.
Talk about protectionism - mergers ARE protectionism, they protect the interests of the share holders and the directors, but not much else.
If a single company owned everything, but employed only 1% of the population, they'd have huge profits and the share holders would be extremely happy, but don't you think the economy would then collapse?
Thinking of employees as customers in other companies makes it slightly clearer - you must make sure that people earn money (and do not depend on charity) for a healthy economy. In a competitive market, it means that people have to work hard to earn their cash, but they CAN do it (i.e., it makes sense to start new businesses and employ people, because you can compete). In a non-competitive market, it can either mean that everybody works, but the market is not efficient (communism as was practiced in the USSR), or that only a small fraction of the population works and the rest are either rich (the "owners" of everything) or they have to resort to begging or stealing (capitalism as practiced in Africa).
Mergers make the market non-competitive. I wonder if you really want the country you live in to be like either of these examples.