MindTree completes wireless biz restructuring

BANGALORE: IT solutions company, MindTree to on Tuesday announced that it has completed restructuring the wireless products business of its wholly owned subsidiary MindTree Wireless into a design services business at a cost of approximately $3.6- 3.9 million. The move is expected to make it easier for the company to do business with large global service providers .

The company had earlier indicated that it is seeing good traction from global customers for white-labled conversations smarthpones. “As ensued, we found that contracting with large global service providers required more commitment and risks in areas such as inventory and marketing than we originally anticipated ,”thecompanysaidinastatement here.

The company said that the decision was made owing to changes in market conditions which existed earlier and taking into account the need for significantly higher capitalization to do business with large global service providers.