-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0000903423-08-000017.txt : 20080103
<SEC-HEADER>0000903423-08-000017.hdr.sgml : 20080103
<ACCEPTANCE-DATETIME>20080103155110
ACCESSION NUMBER:		0000903423-08-000017
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20071231
FILED AS OF DATE:		20080103
DATE AS OF CHANGE:		20080103

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			NORTEL NETWORKS CORP
		CENTRAL INDEX KEY:			0000072911
		STANDARD INDUSTRIAL CLASSIFICATION:	TELEPHONE & TELEGRAPH APPARATUS [3661]
		IRS NUMBER:				980535482
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		ATTN: CORPORATE SECRETARY
		STREET 2:		195 THE WEST MALL
		CITY:			TORONTO
		STATE:			A6
		ZIP:			M9C 5K1
		BUSINESS PHONE:		9058637000

	MAIL ADDRESS:	
		STREET 1:		ATTN: CORPORATE SECRETARY
		STREET 2:		195 THE WEST MALL
		CITY:			TORONTO
		STATE:			A6
		ZIP:			M9C 5K1

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	NORTHERN TELECOM LTD
		DATE OF NAME CHANGE:	19940831

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	NORTHERN ELECTRIC CO LTD
		DATE OF NAME CHANGE:	19760324

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			MONGEAU CLAUDE
		CENTRAL INDEX KEY:			0001368278

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-07260
		FILM NUMBER:		08506359

	BUSINESS ADDRESS:	
		BUSINESS PHONE:		(905) 863-1220

	MAIL ADDRESS:	
		STREET 1:		8200 DIXIE ROAD, SUITE 100
		CITY:			BRAMPTON
		STATE:			A6
		ZIP:			A6 L5T 5P6
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>mongeau-f4_0103ex.xml
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2007-12-31</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000072911</issuerCik>
        <issuerName>NORTEL NETWORKS CORP</issuerName>
        <issuerTradingSymbol>NT</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001368278</rptOwnerCik>
            <rptOwnerName>MONGEAU CLAUDE</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O NORTEL NETWORKS CORPORATION</rptOwnerStreet1>
            <rptOwnerStreet2>195 THE WEST MALL</rptOwnerStreet2>
            <rptOwnerCity>TORONTO, ONTARIO</rptOwnerCity>
            <rptOwnerState></rptOwnerState>
            <rptOwnerZipCode>M9C 5K1</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <derivativeTable>
        <derivativeTransaction>
            <securityTitle>
                <value>Share Units</value>
                <footnoteId id="F1"/>
            </securityTitle>
            <conversionOrExercisePrice>
                <footnoteId id="F1"/>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2007-12-31</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>104.4465</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>15.32</value>
                    <footnoteId id="F2"/>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <footnoteId id="F1"/>
            </exerciseDate>
            <expirationDate>
                <footnoteId id="F1"/>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Shares</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>104.4465</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>452.8790</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeTransaction>
        <derivativeTransaction>
            <securityTitle>
                <value>Share Units</value>
                <footnoteId id="F3"/>
            </securityTitle>
            <conversionOrExercisePrice>
                <footnoteId id="F3"/>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2007-12-31</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>2402.2662</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>15.32</value>
                    <footnoteId id="F2"/>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <footnoteId id="F3"/>
            </exerciseDate>
            <expirationDate>
                <footnoteId id="F3"/>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Shares</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>2402.2662</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>10416.2085</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeTransaction>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">Share units issued on the last day of the quarter under the Nortel Networks Corporation Directors' Deferred Share
 Compensation Plan (the &quot;NNCDDSCP&quot;). Pursuant to the NNCDDSCP, certain fees payable to Nortel Networks Corporation (&quot;NNC&quot;)
 directors are paid in the form of NNC share units, based upon the market price of NNC common shares on the last trading day
 of the quarter in accordance with the NNCDDSCP. On the earliest date when a director ceases to be both (i) a member of the
 board of directors of NNC and (ii) employed by NNC or its subsidiaries, NNC will cause to be purchased on the open market,
 for delivery to the director, a number of NNC common shares equal to the number of NNC share units credited to the
 director's account under the NNCDDSCP.</footnote>
        <footnote id="F2">Represents the price of the share unit of $15.14 Cdn. as converted into U.S. dollars using the noon rate of exchange of the
 Bank of Canada on the last trading day of the quarter in accordance with the NNCDDSCP and NNLDDSCP.</footnote>
        <footnote id="F3">Share units issued on the last day of the quarter under the Nortel Networks Limited Directors' Deferred Share Compensation
 Plan (the &quot;NNLDDSCP&quot;). Pursuant to the NNLDDSCP, certain fees payable to Nortel Networks Limited (&quot;NNL&quot;) directors are paid
 in the form of NNL share units, based upon the market price of NNC common shares on the last trading day of the quarter in
 accordance with the NNLDDSCP. On the earliest date when a director ceases to be both (i) a member of the board of directors
 of NNL and (ii) employed by NNL or its subsidiaries, NNL will cause to be purchased on the open market, for delivery to the
 director, a number of NNC common shares equal to the number of NNL share units credited to the director's account under the
 NNLDDSCP.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>P.E. Simeon, Attorney for Claude Mongeau</signatureName>
        <signatureDate>2008-01-03</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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