Supplier Nortel has lost its network infrastructure deal for the London 2012 Olympic Games.

According to The London Organising Committee of the Olympic Games and Paralympic Games (Locog), the termination was prompted by the vendor’s decision to sell some assets of its wireless portfolio and its intention to sell other businesses.

As the partnership between Locog and Nortel covered the supplier's entire operation, Nortel was no longer able to meet the contract’s requirements, so both parties decided to “amicably” end the relationship.

The Canadian telecommunications equipment giant filed for bankruptcy protection in the US and Canada earlier this year, as a consequence of the recession and declining demand for its products.

Locog has brought Cisco on board to replace Nortel as its infrastructure provider with immediate effect under a tier-two contract lasting for three years.

“We continue on a path to deliver the most connected Games possible. We part with Nortel on good terms,” said London 2012 chief executive Paul Deighton.

“Nortel acknowledges our fixed deadlines, and our desire to have a single supplier for our entire network infrastructure has been impacted by Nortel’s decision to move towards standalone businesses,” he said.

“This is in no way a reflection of their capabilities – this is all about meeting our fixed deadlines. We welcome Cisco to the London 2012 team, they will be a valued partner and will provide us with what we require to achieve our ambition of delivering a spectacular Games in 2012. We look forward to working with them over the next three years."