Nokia has announced that it will be deploying a new network for Deutsche Telekom in Germany. The network will utilize Open RAN technology, which enables the use of equipment from different suppliers in specific parts of the network. This deployment will involve replacing the existing gear from an incumbent vendor.
In a statement, Nokia stated that this deal signifies a significant return for the company into Deutsche Telekom’s commercial network. While financial terms have not been disclosed, UBS analyst Francois-Xavier Bouvignies suggested that the incumbent vendor may be Ericsson or Huawei. He further added that this deal could potentially provide some relief for Nokia, following the recent announcement regarding its loss to Swedish rival Ericsson in securing a major new Open RAN network contract from AT&T.
The deal with AT&T had a negative impact on Nokia’s profitability targets, future revenue, and share prices. As a result, most of AT&T’s new purchases of certain cell-tower equipment will now be conducted with Ericsson, replacing Nokia’s existing gear in many markets.
For the Deutsche Telekom project, Nokia will be partnering with Fujitsu. The work is already underway, reflecting the company’s proactive approach to meeting the needs of its clients.
Markdown formatted by OpenAI