Airtel Extends Multi-Billion Deal with Ericsson for 4G and 5G Solutions

Bharti Airtel has awarded Ericsson a multi-year, multi billion dollar deal for the provision of 4G and 5G products and solutions, marking a significant partnership extension. 

This follows a similar agreement with Finland’s Nokia, announced in November 2024. The deal aims to enhance Airtel's network coverage and capacity, particularly in urban regions seeing rapid data growth from the increasing adoption of 5G smartphones.

The new agreements are expected to facilitate Airtel's rollout of a 5G standalone (SA) architecture network, which will support its fixed wireless access broadband services across India. According to Airtel’s Chief Technology Officer, Randeep Sekhon, the deployment of Ericsson’s latest technology will improve the network's speed, reliability, and coverage.

Under this extension, Ericsson will provide around 50% of the required equipment for Airtel’s 4G and 5G networks, while Nokia will contribute approximately 45%. The deal will also include the development of new 5G use cases as the network evolves.

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Accelerating 5G Expansion

Ericsson’s Head of Southeast Asia, Oceania, and India, Andres Vicente, stated that this partnership underscores a shared vision for building a robust 4G and 5G infrastructure. With this deal, both Airtel and Vodafone Idea are accelerating their 5G network expansions, while Vodafone Idea recently secured a $3.6 billion deal for its equipment needs.

Airtel’s contract renewal comes shortly after reports that negotiations were ongoing with key suppliers including Ericsson, Nokia, and Samsung, with each expected to meet a significant portion of Airtel's new equipment requirements for its network.

As the 5G sector sees considerable growth in India this partnership is a significant step toward the countrys digital transformation. However despite the good news Airtels stock saw a near 2 Percent decline during mid day trading on December 4 making it a major drag on the Sensex.

In conclusion, this renewed partnership with Ericsson and Nokia is set to propel Airtel’s 5G initiatives forward, strengthening its network infrastructure and laying the foundation for the future of telecommunications in India.

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