Airtel awards multi-billion 4G, 5G extension deal to Nokia

The companies recently launched the Green 5G initiative, aimed at improving the energy efficiency of Airtel’s network and reducing carbon emissions.

Bharti Airtel, dues prepayment, spectrum dues, Department of Telecom, liabilities
Bharti Airtel has made a prepayment of Rs 3,626 crore to the Department of Telecom. (Image/Reuters)

Bharti Airtel on Wednesday said the company has awarded a multi-billion deal to telecom gear maker Nokia for expanding its 4G and 5G services across key cities and states in the country.

As per the contract, Nokia will deploy equipment from its 5G AirScale portfolio

including base stations, baseband units and the latest generation of massive MIMO (Multiple-Input Multiple-Output) radios, powered by its energy-efficient ReefShark System-on-Chip technology.

For Airtel, these solutions will enhance its 5G network capacity and coverage. Besides, Nokia will also modernise Airtel’s existing 4G network with multiband radios and baseband equipment, which can also support 5G.

The companies did not disclose the size of the deal.

“This strategic partnership with Nokia will future proof our network infrastructure and provide customers with unparalleled user experience along with a network that will be eco-friendly to minimise environmental impact,” said Gopal Vittal, vice chairman and MD at Bharti Airtel.

Airtel will also be leveraging Nokia’s MantaRay network management for intelligent network monitoring and management that uses AI-based tools covering digital deployment, optimisation and technical support, the company said in an exchange filing.

Pekka Lundmark, president and CEO of Nokia, said “our industry-leading AirScale portfolio and AI-based services will enhance the energy efficiency of Airtel’s network, enabling premium 5G capacity and connectivity with the highest quality of service for subscribers.”

Nokia has been Airtel’s network deployment partner for over two decades, providing 2G, 3G, 4G, and 5G network equipment. The companies recently launched the Green 5G initiative, aimed at improving the energy efficiency of Airtel’s network and reducing carbon emissions.

Airtel’s renewed deal with Nokia has come at a time when peer Vodafone Idea recently awarded Rs 30,000 crore 4G/5G network expansion contracts to Nokia, Ericsson and Samsung.

Lately, telecom gear makers Ericsson and Nokia have been witnessing a sharp decline in the sales from their India business. The reason for the same can be attributed to a significant fall in capital expenditure levels of the telecom operator especially on the 5G networks.

In the July-September quarter of the current year, Ericsson’s India sales fell 68% year-on-year (YoY) to 3.09 billion Swedish crowns (around Rs 2,466 crore). On the other hand, Nokia India sales fell 43% YoY to 316 million euros (around Rs 2,874 crore) in constant currency terms.

Until the July-September quarter of 2023, the companies were experiencing record sales from its India operations.

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This article was first uploaded on November twenty-one, twenty twenty-four, at zero minutes past five in the morning.
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