It’s yet more bad news for Huawei, as Telia Norway selects Ericsson to provide its 5G, replacing Huawei who currently supplies its 4G network.
This is fantastic news for Ericsson, as it edges ahead of rivals by bagging a significant contract. It does suggest, however, that it offered incredibly competitive terms to secure the contract with the Norwegian telco.
It seems that Ericsson is sticking to its plan to bag “strategic contracts” in order to boost its market share. Many investors are starting to pay attention to the supplier, as it begins to make waves in the 5G industry.
Nationwide 5G rollout by 2023
Jenny Lindqvist, the head of Ericsson's business in northern and central Europe, said that they were “competitive” during the tender, and made the promise nationwide 5G rollout by 2023.
For Telia Norway to be entirely dependant on Ericsson for its 5G radio access network may seem unwise, as highlighted by the fact that last year US sanctions against Huawei caused huge problems for those in single-vendor contracts. That aside, the Telia Norway contract is another high profile victory for the Swedish vendor, as it goes head-to-head with Huawei and Nokia. And this will certainly smart for Huawei, given that it was the current supplier of 4G equipment to Telia Norway, and leaves Huawei with no 5G footprint in Norway.
When asked about Telia's decision to replace Huawei, a spokesperson for the Chinese vendor said: "We have been informed about Telia's decision, which of course we fully respect. We will continue to work hard on the other engagements we have with Telia and we remain totally committed to fulfilling our customers' expectations."