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Nokia Successfully Tests World's First 800GbE Trial: Stock to Gain?

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Nokia Corporation (NOK - Free Report) , Windstream Wholesale and Colt Technology Services together achieved a significant milestone in global connectivity by completing the world’s first trial of 800 Gigabit Ethernet (800GbE) service. This pioneering test connected London with Chicago over an impressive 8,500 km route that encompasses both subsea and terrestrial networks.

How NOK’s Solutions Helped Achieve This Feat?

The trial utilized Colt Technology Services’ state-of-the-art transatlantic subsea cables, integrated with its extensive terrestrial fiber optic infrastructure. It was further enhanced by Windstream Wholesale’s low-latency Intelligent Converged Optical Network, which monitored speed and performance throughout the trial. 

Central to the trial's success was Nokia's sixth-generation Photonic Service Engine (PSE-6s) coherent optics and 7750 Service Router (SR) high-performance routing platforms. 
The PSE-6s optical engine leverages Nokia’s advanced technologies to enable network operators increase scalability, maximize capacity and reach performance over challenging regional, long-haul and subsea applications efficiently. 

The 7750 SR portfolio addresses the full spectrum of IP routing requirements. Its highly reliable service delivery mechanisms maximize network stability while minimizing service disruptions. These advanced technologies not only boosted Internet service speeds but also supported ultra-high wavelength capacity while maintaining power efficiency.

Will This Achievement Drive NOK’s Share Performance?

With the emergence of the smartphone market and subsequent usage of mobile broadband, user demand for coverage speed and quality has increased in recent times. Further, to maintain superior performance as traffic increases, there is also a continuous need for network tuning and optimization. 

The introduction of 800GbE marks a significant leap in service bandwidth, effectively doubling capacity to support a range of advanced applications, including AI-driven data center networking, content delivery networks and connections for financial trading hubs.

As the telecommunications industry continues to evolve, Nokia’s collaboration with two of the world's most important financial hubs underscores its commitment to paving the way for the future of global connectivity. It also exemplifies Nokia’s commitment to redefining networking technology and enhancing cross-continental communication capabilities.

The collaboration is likely to propel NOK stock on incremental revenue generation and inducement of similar deals from other carriers in the future.

NOK’s Stock Price Performance

Shares of Nokia have gained 22.2% over the past year compared with the industry’s growth of 55.4%.

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NOK’s Zacks Rank and Other Key Picks

Nokia currently carries a Zacks Rank #2 (Buy). 

Some other top-ranked stocks in the broader industry have been discussed below.

Ubiquiti Inc. (UI - Free Report) sports a Zacks Rank #1 (Strong Buy) at present. Its highly flexible global business model remains apt to adapt to the changing market dynamics to overcome challenges while maximizing growth. You can see the complete list of today’s Zacks #1 Rank stocks here.

 
Its excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company’s effective management of its strong global network of more than 100 distributors and master resellers improved UI’s visibility for future demand and inventory management techniques. In the last reported quarter, Ubiquiti delivered an earnings surprise of 4.19%. 

Workday Inc. (WDAY - Free Report) sports a Zacks Rank #1 at present. In the last reported quarter, it delivered an earnings surprise of 7.36%. WDAY is a leading provider of enterprise-level software solutions for financial management and human resource domains.

Ooma, Inc. (OOMA - Free Report) currently carries a Zacks Rank #2. In the last reported quarter, it delivered an earnings surprise of 7.14%. 

Ooma provides communications solutions and other connected services to small business, home and mobile users. The Company's products include Ooma Office for small businesses, Business Promoter, Ooma Telo for home, Ooma end-point devices, Ooma Premier Service for Telo, Talkatone Application as well as caller identification, call-waiting and voice mail services.


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