Nokia is increasing its production capacity in India by one and a half times

04. 10. 2022 Tuesday / By: Robert Denes / Industrial / Exact time: BST / Print this page

W ork to expand the Chennai manufacturing facility is already underway and more production lines will be commissioned.


Telecom equipment maker Nokia will increase its manufacturing capacity in the country by one-and-a-half times over the next few years to support the rollout of 5G services, the company's India head of mobile networks business Tarun Chhabra said in New Delhi.

Nokia supplies radio access networks for Bharti Airtel and Reliance Jio's 5G networks from its Chennai facility. Vodafone Idea has not yet finalized its contract as it awaits new funding.

“We have been preparing for the rollout of 5G in India for more than a year – be it by upskilling our staff, increasing production or hiring the right talent. Due to the huge demand for equipment from India, we have to ramp up production to meet this requirement. In the next few years, one and a half times production capacity can be expected,” Chhabra said on the sidelines of the India Mobile Congress.

“We have invested over Rs 600 crore to manufacture telecom products worth Rs 3,500 crore annually and export over 50 per cent,” Chhabra added.

Work to expand the Chennai manufacturing facility is already underway and more production lines will be commissioned. The ramp-up is expected from the first quarter of the calendar year 2023, and based on the requirements, it will gradually increase to one and a half times the current level.

Bharti Airtel has already launched 5G services in eight cities and aims to expand coverage across India by March 2024. Reliance Jio will begin its rollout in metros on Diwali and expand the network across the country by December 2023. The country is expected to be among the fastest countries in the world with affordable tariffs and people's willingness to adopt new technology. India is expected to have more than 300 million 5G subscribers by the end of 2026.

The pandemic also accelerated the use of automation at Nokia, making website integration and software updates faster than usual. While the sites are deployed on-site, they are integrated into the network remotely through a central location, saving time and cost. “We are focusing on automating services to be more efficient,” Chhabra said.


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