Nokia wins multi-billion 5G extension deal from Bharti Airtel

Finnish telecom giant Nokia has been awarded a multi-year, multi-billion extension deal by Bharti Airtel to deploy 4G and 5G equipment across key Indian cities and states, the Indian telecom operator said in a statement. The companies did not announce the exact deal value.

As per the contract, Nokia will deploy equipment from its 5G AirScale portfolio including base stations, baseband units and the latest generation of Massive MIMO radios, all powered by its ReefShark System-on-Chip technology, the statement said. These solutions will enhance Airtel’s network with 5G capacity and coverage and support its network evolution, it said.

Furthermore, Nokia will modernise Airtel's existing 4G network with multiband radios and baseband equipment, which can also support 5G, the statement said.

Nokia has collaborated with Airtel for over two decades, providing 2G, 3G, 4G, and 5G network equipment.

"This strategic partnership with Nokia will future proof our network infrastructure and provide customers with unparalleled user experience along with a network that will be eco-friendly to minimise environmental impact,” said Gopal Vittal, vice chairman and MD, Bharti Airtel.

Airtel will also be leveraging Nokia's MantaRay Network Management for intelligent network monitoring and management that uses AI-based tools covering digital deployment, optimisation and technical support

“This strategic agreement further solidifies our long-standing collaboration with Airtel and our footprint in India. Our industry-leading AirScale portfolio and AI-based services will enhance the energy efficiency of Airtel’s network, enabling premium 5G capacity and connectivity with the highest quality of service for subscribers,” said Pekka Lundmark, president and CEO of Nokia.

Bharti Airtel reported nearly threefold year-on-year rise in Q2 FY25 net profit at ₹3,593 crore, up from ₹1,341 crore, driven by strong performance across its India and Africa operations. The company’s Q2 performance was supported by tariff hikes, enhanced ARPU, and ongoing customer shifts from 2G to 4G.

The average revenue per user (ARPU) for the mobile segment climbed to ₹233, up from ₹203 last year, as data usage per customer surged 22.6% to 23.9 GB per month, with Airtel focusing on optimising its customer mix and transitioning 2G users to 4G.

Among expenses, licence and spectrum charges saw a 16.9% rise, moving from Rs. 2,964 crore to Rs. 3,466 crore. Network operating expenses also increased, up 7.9% to Rs. 8,011 crore from Rs. 7,424 crore.

Airtel’s customer base reached 563 million across 15 countries, with India contributing 407 million and Africa 157 million. In India, average monthly mobile data usage rose 22.6% to 23.9 GB per customer.

Airtel’s mobile services revenue in India grew 18.5% year-on-year, driven by higher realisations, tariff hikes, and a growing smartphone user base. The company added 4.2 million smartphone data customers this quarter, increasing smartphone penetration to 75% of its mobile base. Overall revenue from India rose 16.9% to ₹31,561 crore.