Nokia wins multi-billion extension deal with Airtel to boost 4G, 5G network

The agreement is expected to enhance Airtel's 5G capacity while supporting its network transformation efforts and modernise its 4G network

Telecom equipment supplier Nokia has signed a multi-year, multi-billion-dollar extension agreement with Bharti Airtel to deploy 4G and 5G equipment across Indian cities, the telecom major informed the exchanges on Wednesday.

 

The agreement is expected to enhance Airtel’s 5G capacity while supporting its network transformation efforts. Nokia and Airtel have a partnership spanning over two decades and recently launched the 'Green 5G Initiative' to improve the energy efficiency of Airtel’s network while cutting carbon emissions, the company said in the filing.

 

Deal to advance Airtel's 4G and 5G capabilities

 

Under the contract, Nokia will supply its advanced 5G AirScale portfolio, including base stations, baseband units, and Massive MIMO radios powered by the energy-efficient ReefShark System-on-Chip technology. These technologies aim to significantly boost Airtel's 5G capacity and coverage.

 

 

The agreement also includes modernising Airtel’s 4G network with multiband radios and baseband equipment capable of supporting 5G. Additionally, Airtel will deploy Nokia's AI-driven MantaRay Network Management system for intelligent monitoring and management, which will cover areas such as digital deployment, optimisation, and technical support.

 

Gopal Vittal, vice-chairman and managing director of Bharti Airtel, described the partnership as a move to ensure robust network infrastructure while minimising environmental impact.

 

“Airtel has been a pioneer in network innovation, consistently pushing the boundaries for delivering cutting-edge connectivity solutions. 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,” Vittal said.

 

Meanwhile, Nokia President and CEO Pekka Lundmark highlighted the collaborative effort to enhance Airtel’s energy efficiency. “The agreement strengthens our collaboration with Airtel and ensures premium 5G connectivity and high-quality services for their subscribers,” he said.

 

Nokia’s tie-up with Vodafone-Idea to expand network 

 

In a separate development, Nokia announced last week that it will establish nearly 3,300 new infrastructure sites for Vodafone Idea (Vi) by March 2025, aiming to expand 4G network coverage to an additional 20 million people.

 

The Finnish telecom giant also plans to upgrade over 42,000 technology sites and execute more than 25,000 spectrum expansions across Vi’s network. To date, Nokia has completed 100 per cent of the spectrum bandwidth expansions, 40 per cent of the technology upgrades, and 15 per cent of the new site setups.

 

As part of a $3.6 billion agreement signed in September with Nokia, Ericsson, and Samsung, Vi is prioritising the deployment of ultra-lean sites to address coverage hotspots and enhance user experience in select markets.

 

“This will also enhance 4G network capacity by 25 per cent, enabling us to offer superior customer experience in nine circles out of our 17 priority circles,” said Vi’s Chief Technology Officer Jagbir Singh.

 

Nokia's global challenges

 

Globally, Nokia has been cutting costs in response to slowing sales and challenging market conditions. The company has reportedly reduced its equipment market share in China, partially due to strained US-China trade relations. Recent reports indicate Nokia is planning workforce reductions, including 2,000 positions in Greater China and 350 in Europe, as part of its cost-cutting measures.