Finnish telecommunications giant Nokia has seen a rebound from its dull performance in the rapidly expanding and lucrative Chinese 5G infrastructure supply market last year. A report by China’s largest telecom provider, China Mobile, has indicated that Nokia got one of its three 5G radio infrastructure contracts this year. The rebound follows a poor 2020 for the Scandinavian company in China, in which it did not secure any contract.5G_Nokia On the other hand, Swedish-owned Ericsson saw a dip in its fortunes in the Chinese 5G market, possibly as a result of the political tensions that came to the fore by Sweden blocking Chinese companies from participating in the 5G rollout in the Scandinavian country, on national security concerns.

According to the documents released by China Mobile, Chinese powerhouses Huawei and ZTE retain the lion share of the 5G radio contracts, with Nokia getting a 10% share from one of the contracts. At the same time, Ericsson nicked 9.6% from another contract. The total 5G contract sum is about $6 billion, showing Nokia’s 4% overall share worth $240 million, while Ericsson had roughly half of Nokia’s share, which is about $120 million. Ericsson’s performance shows a decline from its good showing in 2020. However, some big announcements are still expected from China Telecom and China Unicom, two of the other big players in the Chinese tech firmament.

China is the global leader in 5G network infrastructure deployment and provides a very lucrative market for tech companies with important 5G technologies. Nokia hopes to provides further details of its performance in China when it releases its earnings report by July 29. On the other hand, Ericsson does not expect a significant jump in its contracts in China when China Telecom and China Unicom announce the successful 5G bids. The company projects that it is unlikely that the two Chinese telecom providers will go beyond the bands shown in its China Mobile contracts.

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