Nokia beats estimates and returns cash, Alcatel deal on track

By Jussi Rosendahl and Leila Abboud HELSINKI/PARIS (Reuters) – Finnish network equipment maker Nokia reported stronger-than-expected quarterly profits as growth in China offset weaker demand in other key markets, and said it would return money to shareholders after acquiring Alcatel-Lucent . The tie-up will vault the new company into a stronger position to compete with Sweden's Ericsson and low-cost Chinese player Huawei [HWT.UL], in a market for telecom network gear where little growth and tough competition are pressing down prices

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Facebook gaining ground on YouTube in video ads, report says

By Eric Auchard and Leila Abboud FRANKFURT/PARIS (Reuters) – Facebook is gaining ground on Google's YouTube as an outlet for big companies to market their products via online videos, the fastest growing category of Internet ads, a report published on Monday said. The competition for video viewers opens up a new front in the clash between the two web giants that already compete in other types of advertising given their appeal to young and international consumers, Ampere Analysis said in a study.

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Orange in talks with buyers of fiber assets to get Jazztel deal approved

By Leila Abboud and Gwénaëlle Barzic PARIS (Reuters) – Orange has begun talks with several potential buyers for parts of Jazztel's fiber network, which it has agreed to sell to get regulatory approval for the takeover of the Spanish broadband company. Nicolas Laederich, an executive who handles regulatory affairs and competition issues for the French telecoms group, said the divestment would be paired with a promise to rent out capacity on the company's fixed network to whoever buys the fiber assets

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Computing, telecoms industries set on collision course

By Eric Auchard and Leila Abboud BARCELONA (Reuters) – Telecom network gear makers are on a collision course with Silicon Valley computing giants as software and cloud computing have begun to change the way operators from AT&T to China Mobile run their networks. As networks move to relatively standard hardware, formerly entrenched equipment groups must increasingly compete for contracts with the likes of Cisco, Hewlett-Packard and VMware, as well as a slew of startups.

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LightSquared preps for tough trial on latest bankruptcy plan

By Nick Brown NEW YORK (Reuters) – LightSquared gained momentum this week in its effort to end its three-year bankruptcy after a judge dealt a blow to its main creditor and adversary, Charles Ergen, ahead of a week-long trial on its latest debt restructuring plan. LightSquared, the would-be wireless provider owned by Phil Falcone’s Harbinger Capital Partners hedge fund, on Monday will begin seeking U.S. Bankruptcy Court approval for a plan to exit Chapter 11, repay lenders and transfer some equity to Fortress Investment Group and Centerbridge Partners.

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European telecoms firms call for pragmatism on net neutrality

By Leila Abboud BARCELONA (Reuters) – Europe's two biggest telecom operators have called on regulators to be flexible and pragmatic in finalising rules to protect the openness of the Internet, to allow them to give priority to certain kinds of data traffic on their networks.

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Taiwan orders Alibaba withdrawal after rules violation: official

By J.R. Wu TAIPEI (Reuters) – Taiwan has ordered Alibaba Group Holding Ltd to withdraw from the country within six months because the online retailer had violated investment rules required for a Chinese company, an economics ministry official said on Monday.

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