Nokia is in advanced talks to buy French rival Alcatel-Lucent.<br /><br /> If the purchase goes ahead it will create a European telecoms equipment group worth some €40bn.<br /><br /> The deal appears to have the blessing of the French government.<br /><br /> The economy minister is Emmanuel Macron: “This merger between Nokia and Alcatel-Lucent will create a European giant, both in terms of equipment and technology. This giant will be able to compete with Huawei and the Chinese companies.” <br /><br /> Shares in the French company shot up in response. <br /><br /> The move marks a sensational turnaround by Nokia, which was in severe financial straits two years ago before selling its mobile phone division to Microsoft.
