BT has reached an agreement with Nokia to replace Huawei equipment in EE’s 5G network as well as components in its earlier-generation networks.
BT, the United Kingdom’s largest telecom operator, acquired EE for £12.5 billion in 2016. Historically, EE used Huawei equipment for 2G and 4G networks, and BT itself maintained a long-standing relationship with the Chinese vendor—dating back to 2005—for its broadband infrastructure.
In July, the UK government announced a ban on the purchase of new Huawei equipment after 31 December 2020 and mandated that operators must remove all existing Huawei gear by 2027.
Ernest Doku, mobiles expert at Uswitch, said: “After months of uncertainty over the future of Britain’s 5G infrastructure, it’s reassuring to hear some positive news with Nokia sealing a deal to pick up some of the slack as Huawei leaves the scene.”
Earlier in the year, BT indicated it would be unable to fully remove all Huawei equipment within the 10-year timeframe laid out by the government.
Huawei technology is present in exchanges managed by BT’s wholesale Openreach division and is currently used in approximately 70,000 roadside broadband cabinets.
BT expects it will not be required to replace those existing cabinets within the 10-year window because they use FTTC (Fibre-to-the-Cabinet) technology, which is being gradually superseded by FTTP (Fibre-to-the-Premises).
The squeeze on Huawei has opened up opportunities for its competitors.
“Nokia is one of a range of established players, including Ericsson and Japan’s NEC, jockeying to capitalise on the Huawei bans in the West,” said Guillermo Pedraja, Head of Networks, 5G & IoT Consulting at NTT DATA UK. “Going forward, these big headline deals are likely to be matched by Western telco operators building partnerships with smaller, niche companies—establishing an ecosystem of alternative suppliers of telco equipment.”
Under the new agreement, Nokia will become BT’s largest equipment supplier, providing hardware and services across BT’s radio sites throughout the UK.
Philip Jansen, CEO of BT Group, commented:
“Digital connectivity is critical to the UK’s economic future, creating jobs and underpinning sustainable growth. That’s why BT is making game-changing investments in full-fibre and 5G.
In a fast-moving and competitive market, it’s critical we make the right technology choices. With this next stage of our successful relationship with Nokia, we will continue to lead the rollout of fixed and mobile networks to deliver stand-out experiences for customers.”
Nokia will supply its AirScale Single RAN (S-RAN) portfolio for indoor and outdoor coverage, including 5G RAN, AirScale base stations, and AirScale radio access products.
BT will also deploy Nokia Software’s ng-SDM and NetAct network management platforms, along with Nokia’s Cell Site Gateway solution for backhaul connectivity.
Pekka Lundmark, President and CEO of Nokia, said: “Our two companies have collaborated for over a quarter of a century to deliver best-in-class connectivity across the United Kingdom. We are proud to support BT’s 5G network evolution and look forward to working even more closely together in the years to come.”
Update: Added comments from NTT DATA UK and Uswitch.
(Photo by Cytonn Photography on Unsplash)
Interested in hearing industry leaders discuss topics like this? Attend industry expos that gather experts on 5G, IoT, blockchain, AI & big data, and cybersecurity. Look for regional events in Silicon Valley, London, and Amsterdam to hear panels, case studies, and technical sessions from leading companies and practitioners.