Nokia Siemens Networks (NSN) has said it is prepared to increase its US$650 million bid for Nortel Networks’ mobile unit if other suitors table higher offers ahead of a court-supervised auction next week. “That may be a requirement in order to remain in the bid process,” said Sue Spradley, president of NSN’s North American operations, reports The Financial Post. “And we’ll do so.” Spradley reiterated NSN’s plans not to cut jobs at Nortel’s Ottawa (Canada) mobile unit, which employs about 500 people. In fact, NSN plans to make Ottawa, Nortel’s traditional R&D centre, its global hub of LTE research. “We’re going to be adding more and more resources as we see the market grow,” she said. In total, NSN said it will keep about 2,500 Nortel employees worldwide, with about 800 of the jobs in Canada, if it wins the contest.

Last week, US antitrust regulators approved NSN’s bid for a portion of Canada’s bankrupt Nortel Networks, although the fate of Nortel remains unknown as recent reports of a rescue bid from private-equity company MatlinPatterson Global Advisors continue to strengthen. Last month, NSN signed a deal to buy most of Nortel’s mobile business for US$650 million, although bidding is open to others until 21 July. The Ottawa Citizen reported yesterday that two other groups, made up of former Nortel executives, may also place bids. A formal auction will begin on 24 July. Meanwhile, workers at the French arm of Nortel threatened to blow up their factory unless they secure decent layoff terms, but gas cylinders placed around the plant were found to be empty, notes Reuters. The workers had placed gas cylinders in front of the plant in the Yvelines area near Paris, where 480 jobs are set to be axed following bankruptcy proceedings.