Nokia appears to be benefiting from Huawei’s recent challenges, securing a notable share of new 5G equipment orders in recent weeks.
The Finnish vendor has won 42 commercial 5G contracts, placing it ahead of rivals Huawei and Ericsson in the current tally.
Huawei remains close behind with roughly 40 commercial 5G agreements. Ericsson trails with 19 contracts, although eight of Ericsson’s customers already have live 5G networks.
According to Federico Guillén, Director at Nokia, operator interest has increased in countries that are debating the use of Chinese suppliers amid US-led security concerns.
“It’s a little early to quantify that, but in recent weeks we are starting to see that happening,” Guillén told Reuters. “Where we are starting to see traction is in countries where there are debates.”
Nokia reports it has secured 12 new 5G contracts since late March. About 22 of its deals are with identified operators such as T-Mobile, SoftBank, and Telia. As reported last month, both Nokia and Ericsson secured 5G business with SoftBank.
In that SoftBank engagement, Ericsson is delivering RAN (Radio Access Network) equipment for 5G bands in the mid and high frequency ranges, while Nokia is supplying its AirScale solution in both distributed and centralized RAN configurations to support SoftBank’s growing consumer and industrial 5G requirements.
Speaking at Nokia’s annual general meeting, CEO Rajeev Suri said the company is gaining an advantage by offering “wider portfolio elements that our competitors cannot match.”
After disappointing Q1 2019 financial results, some analysts questioned whether Nokia could leverage Huawei’s difficulties. The recent wave of 5G contract wins suggests Nokia’s next financial update could show improved momentum.
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