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I just finished reading that one (thanks for the recommendation in another post), and yea, it provides an excellent perspective.

That book lays out to me a much more compelling case that a leap to conclusions in the early 2000's that some fraud must exist killed nortel. Based on reading that book it's probably fairer to say the Americans killed nortel than the Chinese did. Although like anything else, a simplified explanation when there are lots of contributing factors at play likely doesn't mean much.

The posted article though about Huawei killing nortel by hacking them appears to be a reach (can't say it doesn't contribute of course). As I recall working in the industry around the time Telus and Bell switched to UMTS and towards LTE, Nortel wasn't even in the running. I think they had already sold off their LTE technology and were holding onto some CDMA evolution. I don't have precise memory of how this all lined up though, and didn't really work on the access network side (which is where Huawei is used, so most of my knowledge towards Huawei is second hand). I only did an eval with Huawei once.

While I don't have any insight into the china development bank offering low interest loans, and I didn't see it come up at all in that book, I've worked with a number of people who used to be contracted out by nortel to build networks in other countries. And nortel was using it's own money to fund networks in countries unlikely to repay the money for the equipment (Haiti probably stands out with the wildest stories). Those were some of the internal war stories about the financial troubles, although I'm sure there was lots.

I don't think it's safe to say that Huawei hasn't benefited from IP theft, which may include theft from Nortel, and possibly other factors, that have allowed them to skyrocket in profitability and sales. The whole thing with Huawei / Cisco routers I believe is pretty well documented. I just don't agree with the posted articles premise, that China or Huawei are to blame or fully responsible for Nortels collapse.



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