Siemens has sold its Convergence Creators' Network Directory Server IP, Multimedia Systems, Home Location Register and Radio Access businesses to Tieto.
As part of the planned outsourcing, approximately 220 employees in five locations will transfer to Tieto as existing employees.
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These locations are Vienna in Austria, Zagreb in Croatia, Brno in Czech Republic, Bratislava and Zilina in Slovakia.
Siemens convergence creators chief executive, Daniel Felicio, said the planned transaction would be a further step in Siemens business focusing process on innovative solutions in the fields of communication networks, service and customer management, public security, multi-media infotainment, and aerospace technology.
"It will support our strategy to concentrate on our core portfolio, which is of particular importance regarding our expansion activities on our regional footprint and the constantly increasing demand for our core portfolio."
Tieto executive vice president Antti Vasara, said the Siemens employees that were transferring to Tieto were experts that complemented the company's portfolio in voice and IP transformation, allowing it to build new offerings for its customers.
"We are happy to engage ourselves in a closer cooperation in these areas," he said.