Lucent

LUCENT

A Mathematician Rajiv Laroia joined Lucent's bell labs in 1992. He wanted to make wireless data accessible to everyday people thus allowing them to send e-mail, listen to the radio all at the same time without denting the budget. Rajiv Laroia brought his five-person team and went out to start Flarion company. Lucent hopes this start up company by Rajiv Laroia will foster growth for them. Some people might ask how would Lucent benefit from this small start up company. Rajiv Laroia hopes that Flarion could look for new technology in hopes that Lucent might one-day buy them back after they start becoming profitable. In this way, the company hopes to strengthen an Achilles' heel of any big firm: the effort to capitalize on "disruptive" "white space" advances that buck the status quo. (1)

How's does a company like Lucent stay ahead of competition with so many growing areas of technology? As mentioned before by fostering other company's that are into new technology then buying them back, and in the last year Lucent has launched 24 other efforts designed to complement or compete with established business. In this way Lucent can always stay on top of the technology edge. Lucent has made around 150 million dollars from outsourcing.