Finnish network equipment maker Nokia has signed a multi-year contract to boost the capacity of Bharti Airtel, one of India's largest mobile operators. The deal is estimated at a value of almost $1 billion, according to industry analysts.
The partnership will lay the foundation for providing 5G connectivity in the future and approximately 300,000 radio units will be deployed across several spectrum bands, including 900 Mhz, 1800 Mhz, 2100 Mhz and 2300 Mhz, and is expected to finish by 2022.
"We have been working with Nokia for more than a decade now and are delighted to use Nokia's SRAN products in further improving the capacity and coverage of our network as we prepare for the 5G era," Gopal Vittal, MD and CEO (India and South Asia) at Bharti Airtel, said in a statement.
"This is an important agreement for the future of connectivity in one of the world's largest telecoms markets and solidifies our position in India," outgoing Nokia CEO Rajeev Suri said in a statement.
At present India presents a huge opportunity being the world's second-largest telecoms market and Nokia has predicted that it will grow to 92 crore unique mobile customers within five years with the rise in online demand.
Nokia's SRAN solution will help Airtel to address this surge in demand by adding network capacity and offering superior quality of experience to subscribers.
The agreement will also include Nokia's RAN equipment, including its AirScale Radio Access, AirScale BaseBand and NetAct OSS solution, which will help Airtel to monitor and manage its network effectively.
The deal took almost six months to take off after Nokia downgraded its 2020 earnings forecast last October as its move to enter into the 5G equipment market weakened due to fierce market competition.
(With inputs from Agencies)