Nokia Corporation’s (NOK - Free Report) wholly owned subsidiary, Nokia Solutions and Networks (“NSN”) has been chosen by Tele2 Netherlands for instruments required in 4GLTE deployment. The financial terms of the deal were not revealed.
NSN will be supplying its Single RAN (radio access network) superior technology to Tele2’s 2,600 MHz and 800 MHz frequency band. Its RAN technology is well supported with Flexi Multiradio 10 Base Station. Moreover, NSN will install its NetAct network management system for better configuration, monitoring and optimal network utilization.
NSN is on the verge of winning a $200-million deal from Vodafone Group Plc.’s (VOD - Free Report) Indian division. Per the deal, NSN will be upgrading Vodafone’s GSM and 3G networks in 19 and 6 circles, respectively.
Last month, NSN also won a $200-million contract from Mobile TeleSystems (MTS), a leading telecom operator in Russia, to supply instruments for the deployment of 4GLTE technology across Moscow and Central Russia.
NSN’s 4GLTE equipment are widely used and are hugely popular after Ericsson (ERIC - Free Report) and Huawei. In the recently concluded second-quarter 2013, the NSN segment generated $3.64 billion of revenues. With 28% contribution, Europe was one of the leading contributors. Thus, we believe that wining such major contracts in Europe and Asia will certainly bolster the company’s top line.
NSN was a 50-50 joint venture between Nokia and German-based Siemens AG until the former acquired NSN completely for $2.15 billion. Nokia paid $2.15 billion to acquire NSN completely.
Nokia currently carries a Zacks Rank #3 (Hold).