Nokia secures multi-year expansion deal with AT&T for voice and automation
Nokia has unveiled a major multi-year partnership with AT&T aimed at enhancing the telecom giant’s voice transmission and automating its 5G network. This agreement strengthens the enduring collaboration between the two companies and establishes Nokia as a pivotal player in AT&T’s network progression.
This deal follows a significant contract AT&T awarded to Ericsson in late 2023 for constructing a telecom network expected to handle 70% of its wireless traffic in the U.S. by late 2026. Nonetheless, Nokia has secured two agreements with AT&T, including a five-year contract to develop a fiber network in the U.S., highlighting Nokia’s ongoing importance as a key ally for AT&T.
The current agreement centers on upgrading AT&T’s core network, which will facilitate new voice services, integrating AI and machine learning capabilities. Nokia will deliver its 5G IMS Voice Core and Nokia Digital Operations software to enhance the agility, efficiency, and service options of AT&T’s network.
“This is a significant deal for Nokia, reinforcing our long-standing partnership with AT&T across various technologies, paving the way for new 5G functionalities,” stated Raghav Sahgal, president of Cloud and Network Services at Nokia.
The upgrade will optimize AT&T’s core network, streamline operations, improve automation, and reduce the need for manual processes. Consequently, this will expedite the launch of new services while lowering costs for AT&T.
“With focused execution and investment, AT&T is making remarkable strides in automating its entire network and service operations,” said Yigal Elbaz, Senior Vice President of Technology & Network Services at AT&T. “We are excited to continue working with Nokia to enhance our network operations and deliver new services that meet our customers’ evolving demands.”
The financial specifics of the deal remain undisclosed. However, this multi-year agreement confirms Nokia’s position as a vital contender in the 5G arena, showcasing its capability to secure significant contracts with major telecom operators.
This success for Nokia follows a strong fourth-quarter performance, where it reported better-than-expected adjusted operating profits and sales, boosted by heightened demand for telecom equipment in North America and India. Additionally, the company is strategically positioning itself to take advantage of the artificial intelligence surge, including a $2.3 billion acquisition of Infinera.
With this latest agreement with AT&T, Nokia is set to sustain its growth and reinforce its status as a leading provider of network solutions in the 5G landscape.