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Telecom Italia maintains Nokia as a supplier

25. 12. 2020 Friday / By: Robert Denes / Business / Exact time: BST / Print this page

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MILAN (Reuters) - Telecom Italia has decided to keep Nokia's service provider and reduce Huawei's stake in equipment designed to build the 5G network, three sources close to the case amid pressure to exclude the Chinese company from security concerns.

Former national telephone company Telecom Italia (TIM) earlier this year was considering splitting the 5G deployment radio access network (RAN) supply contract between Huawei and Ericsson Ericsson, Reuters sources said.

The RAN infrastructure includes base stations and antennas that connect smartphones to the mobile network and accounts for a significant portion of the cost of the new network.

Nokia in Finland, which was previously one of TIM's suppliers of mobile radio access network equipment, said it planned to miss the 5G RAN order.

But the agreement has since been revised.

“Ericsson will supply most of the equipment, while Huawei and Nokia will each receive 20-25%,” one source said on Wednesday.

“Negotiations are still ongoing on issues including the percentage reduction,” another source said.

Huawei, TIM, Nokia and Ericsson declined to comment.

The original agreement, which would have meant the termination of Nokia, was never made public!

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