Nortel files for bankruptcy

Nortel has filed for Chapter 11 and 15 bankruptcy protection in Delaware. It has also filed for protection in Canada and it's assumed European and other areas will also file for protection.

Nortel was one of the telco giants and it's unlikely it will disappear as so many telcos (both old school and new wave) depend on Nortel for core network equipment such as telephony exchanges etc.

Even if they do go under, they'll emerge under the wing of someone like Alcatel-Lucent or another huge operator.

Nortel have been struggling for a while and the credit crunch is the last straw that broke the camel's back.