NOK Solutions to Modernize Taiwan's 5G Network: Stock to Gain?
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Nokia Corporation NOK recently extended its partnership with Chunghwa Telecom (“CHT”), the largest telecom service provider in Taiwan for one year. This collaborative effort aims to modernize CHT’s 5G network across central and southern Taiwan to meet the evolving demands of its customers by leveraging Nokia’s cutting-edge connectivity and technology solutions.
Digging Deep Into the NOK-CHT Extended Collaboration
Per the agreement, Nokia will deploy baseband units, Remote Radio Head products and Massive MIMO radios from its state-of-the-art industry-leading 5G AirScale portfolio. Nokia’s extensive AirScale Massive MIMO radio portfolio includes lightweight and high-output Massive MIMO Habrok radios in 32TRX (Habrok 32) and 64TRX (Habrok 64) configurations, addressing a variety of deployment scenarios.
The deal also encompasses Nokia’s AirScale Pandion portfolio, focusing on FDD multiband remote radio heads to enhance operational capabilities. These solutions, powered by the energy-efficient ReefShark System-on-Chip technology, will ensure efficient and scalable network coverage with high capacity to address various advanced applications for CHT’s customers.
In addition, CHT will utilize Nokia's intelligent AI-powered MantaRay solutions portfolio featuring the cutting-edge MantaRay NM and MantaRay SON platform. The AI-based automation of the MantaRay NM facilitates better monitoring and management of the network while the latter features self-configuring modules that enhance network performance and efficiency, tailored to meet specific operational challenges and growing complexity.
Furthermore, to support baseband aggregation at the sites, Nokia will deploy its 7250-interconnect router, which will help meet the growing demands of CHT's business services. Nokia will also provide various services, including digital deployment, optimization and technical support. The deployment of Nokia's equipment is underway and is expected to last 12 months.
Does NOK Stand to Gain From the Extended Collaboration?
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 company’s expertise in mission-critical networks is well-established, with deployments across more than 2,600 leading enterprise customers in the transportation, energy, manufacturing, webscale and public sector segments worldwide.
This collaboration with CHT is likely to propel the stock with incremental revenue generation and inducement of similar deals from other carriers in the future. The deal is also expected to strengthen Nokia’s position as a leading telecommunications equipment provider in the region.
