Core Insights - Nokia has been selected by Vortex Group to upgrade its IP edge and transport network in Maharashtra, Goa, and Gujarat, aiming to enhance broadband speeds and extend connectivity to underserved areas [1][10] - The upgrade will allow over 150 smaller ISPs connected to Vortex's backbone to access high-speed, reliable services, improving internet experiences for customers [1] Group 1: Network Transformation - The transformation will utilize Nokia's advanced Broadband Network Gateway (BNG) solution, consolidating multiple smaller BNGs into a single scalable platform that supports over 200,000 subscribers [2][10] - Vortex's network will shift from Layer 2 (L2) to Layer 3 (L3) IP/MPLS architecture, significantly enhancing capacity and operational efficiency [4][10] - Nokia will provide its 7250 IXR series routers and 7750 SR-1 BNG, replacing legacy equipment with high-capacity, future-ready solutions [4][10] Group 2: Strategic Investment and Growth - This strategic investment enables the launch of faster broadband plans and supports rapid expansion and stronger backbone for future growth and wholesale partnerships [3] - The upgrade will help Vortex reduce capital and operational costs while improving performance and reliability [2][5] - Nokia's IP edge and transport platforms, powered by proprietary silicon, offer the necessary flexibility and scalability for sustainable service delivery [3] Group 3: Market Position and Future Outlook - Nokia is experiencing solid momentum in software and enterprise sectors, which is beneficial for its licensing business [7] - The company is well-positioned to capitalize on copper and fiber rollouts in passive optical networking and is the only global supplier offering O-RAN with commercial 5G Cloud-RAN networks [7] - Nokia's expansion into the data center market and partnerships with major companies like Apple indicate a strong growth trajectory [8]

Press Release Nokia upgrades Vortex’s IP edge and transport network to enhance broadband services across Maharashtra, Goa and Gujarat Upgraded IP/MPLS-based network to enhance efficiency, reduce complexity, and improve customer experience.Strengthening IP aggregation and edge networks to offer faster speeds and support Vortex’s growth into Tier 3 and 4 cities. 1 September 2025New Delhi, India – Nokia today announced that it has been selected by the Vortex Group to modernize its IP edge and transport network ...

Core Insights - Nokia has been selected by Vortex Group to modernize its IP edge and transport network across Maharashtra, Goa, and Gujarat, enhancing broadband services and expanding access to underserved areas [1][4] - The upgrade will transition Vortex's network from Layer 2 to Layer 3 IP/MPLS architecture, improving operational efficiency and capacity [3][8] - Vortex will consolidate multiple lower-capacity Broadband Network Gateways (BNGs) into a single scalable system, supporting over 200,000 subscribers and reducing CAPEX and OPEX [2][5] Company Overview - Vortex Group is a next-generation connectivity solutions provider focused on broadband and digital infrastructure, operating primarily in Maharashtra, Goa, and Gujarat [10][11] - The company aims to bridge the digital divide by expanding high-speed internet access to both urban centers and underserved communities [10][11] - Vortex Netsol, the ISP arm of Vortex Group, delivers high-speed fiber broadband and enterprise-grade connectivity [10] Strategic Implications - The partnership with Nokia positions Vortex to introduce higher-speed broadband plans and scale rapidly into Tier 3 and Tier 4 cities [2][4] - The upgrade is expected to enhance customer experience by providing greater reliability, capacity, and speed [4][8] - Nokia's proprietary silicon technology will support the flexibility and scalability needed for sustainable broadband service delivery [2][5]

Core Insights - Nokia's recent financial performance has been weak, with a significant decline in comparable net profit and challenges in its mobile networks business [2][3] Financial Performance - In Q2, Nokia's comparable net profit fell by 28% year-on-year to €236 million, while revenue saw a slight increase of 2% to €4.47 billion, but a 1% decline when adjusted for currency effects [2] - The company's comparable operating profit margin decreased to 6.6%, down 2.9 percentage points from the previous year [2] - The patent licensing business contributed €255 million, which helped mitigate overall profitability concerns [2] Business Challenges - The mobile networks segment is facing significant issues, with U.S. operators reducing their reliance on Nokia; Verizon has shifted to Samsung, and AT&T has chosen Ericsson, leaving T-Mobile as the primary customer [2] - Revenue from the mobile networks division dropped from €10.4 billion in 2020, accounting for nearly half of total revenue, to €7.7 billion in 2024, now representing 40% of total revenue [2] - The profitability of this segment has deteriorated, with a loss of €75 million in the first half of this year, resulting in a profit margin of -2.2%, compared to a 9.5% profit margin in the same period last year [2] Strategic Focus - CEO Justin Hotard emphasized the company's commitment to investing in artificial intelligence, anticipating an "AI supercycle" that will drive demand for stronger network infrastructure [3] - Despite short-term profit pressures, the company continues to invest heavily in research and development to support future growth [3] Shareholder Sentiment - Shareholders are growing impatient, with some questioning the emphasis on "comparable profit" as a means to obscure the true financial situation [3] - Calls for deep reforms include divesting from more profitable segments and potentially relocating the headquarters to the U.S. to attract more investment [3]

Group 1 - Nokia's comparable net profit declined by 28% year-on-year in Q2, amounting to €236 million (approximately ¥1.963 billion), despite a 2% revenue increase to €4.47 billion, which translates to a 1% decline when adjusted for constant currency [2] - The company's comparable operating profit margin fell to 6.6%, down 2.9 percentage points from the same period last year, indicating significant profitability challenges [2] - The mobile networks division is facing severe difficulties, with major U.S. carriers like Verizon switching to Samsung and AT&T opting for Ericsson, leaving T-Mobile as its primary customer [2] Group 2 - In 2020, Nokia's mobile networks division generated €10.4 billion (approximately ¥86.514 billion) in revenue, accounting for nearly half of the company's total revenue, but this dropped to €7.7 billion (approximately ¥64.054 billion) in 2024, representing only 40% of total revenue [2] - The profitability of the mobile networks division has deteriorated significantly, with a profit margin of 9.5% in the first half of 2022 turning into a loss of €75 million (approximately ¥624 million) in the same period this year, resulting in a profit margin of -2.2% [2] - Nokia is focusing on AI development, with CEO Justin Hotard emphasizing the upcoming "AI supercycle" that is expected to drive stronger network demand, although this may pressure short-term profits [3] Group 3 - Shareholders are growing increasingly impatient, with some criticizing Nokia for overemphasizing "comparable profits" to mask weak official data, while others are calling for significant restructuring, including divesting more profitable business units and potentially relocating the headquarters to the U.S. to attract more institutional investors [3]

Core Insights - Nokia has launched a new commercial 5G radio solution aimed at enhancing digital railway operations and supporting the Future Railway Mobile Communication System (FRMCS) [1][2][4] - The 5G solution is designed to provide high-capacity, high-performance, and resilient real-time communications for rail operators globally, facilitating greater digitalization and automation in the railway sector [1][4][6] Industry Impact - The FRMCS will replace the current 2G GSM-R system, becoming the next-generation global standard for railways, with built-in security and high reliability [2][3] - Nokia's extensive experience in GSM-R deployments across over 20 countries positions the company as a leader in railway communications and FRMCS development [3][4] Technological Advancements - The new 5G radio operates on the 1900 MHz band and is part of Nokia's AirScale portfolio, which is optimized for railway applications [5][6] - The solution includes a cloud-native 5G standalone core that supports the full suite of FRMCS functionalities, allowing for seamless migration from legacy systems [4][6] Benefits for Rail Operators and Passengers - The 5G solution enables automated train operations, real-time passenger information systems, mission-critical voice communication, and smart rail maintenance, all aimed at improving safety, efficiency, and passenger experience [7][8] - Enhanced capabilities align with the operational needs of modern railways, particularly in cross-border scenarios, promoting sustainable transport and improved services [5][6]

Group 1 - The article discusses the evolution of the telecommunications equipment industry, highlighting the rise and fall of various companies over the past two decades, particularly focusing on the changes in the Fortune Global 500 rankings [2][54]. - In 2000, seven telecommunications equipment manufacturers made it to the Fortune Global 500, including Lucent and Nortel, which have since disappeared from the list, while Huawei and ZTE were still emerging players [5][9]. - By 2015, only three companies remained in the rankings: Cisco, Huawei, and Ericsson, indicating a significant consolidation in the industry [23][25]. Group 2 - Huawei's revenue skyrocketed to $124.3 billion in 2020, marking a 166% increase and a significant rise in its global ranking, showcasing its rapid growth in the telecommunications sector [26][27]. - The article notes that the global telecommunications market is fixed in size, meaning Huawei's growth has come at the expense of other manufacturers, leading to a decline in their market presence [28][31]. - The geopolitical tensions, particularly the U.S. actions against Huawei, have disrupted the established global supply chain and forced a reevaluation of industry dynamics [32][33]. Group 3 - By 2025, only Huawei and Cisco remained in the Fortune Global 500, with Huawei ranking 83rd and Cisco at 273rd, reflecting the ongoing challenges faced by traditional Western manufacturers like Ericsson and Nokia [37][54]. - The article highlights that the telecommunications industry is cyclical, with both Ericsson and Nokia experiencing revenue declines post-peak 5G investments, indicating a potential downturn in the market [38][41]. - The competitive landscape has shifted, with Huawei's unique management and compensation strategies contributing to its sustained growth, while traditional companies struggle to adapt to changing market conditions [61][62].

Core Viewpoint - Nokia has officially filed a patent infringement lawsuit against Geely Group and its brands, impacting Geely's operations in 18 European countries, which are crucial for its international expansion [1][3]. Group 1: Patent Infringement Details - The lawsuit involves standard essential patents (SEPs) in the cellular communication field, specifically EP3799333 (4G/5G preamble sequence allocation) and EP4090075 (5G beam switching technology) [3]. - Nokia claims that Geely has used these cellular technologies in its vehicles without authorization, constituting infringement [3]. - Nokia has previously attempted to negotiate a fair and reasonable patent licensing agreement with Geely, which was rejected, leading to the current legal action [3]. Group 2: Impact on Geely - If the court rules in favor of Nokia, Geely's related vehicle models could face a sales ban in Germany, France, and 16 other European countries, significantly impacting Geely's market expansion efforts [3]. - Geely's export volume is projected to reach 414,500 units in 2024, representing a 57% year-on-year increase, with the European market being a critical contributor [3]. - A sales ban could result in Geely losing nearly 20% of its global export share and hinder its high-end market positioning in Europe [3]. Group 3: Broader Implications for Chinese Brands - The core patent EP3799333 has previously been used against other Chinese manufacturers like OPPO and vivo, resulting in product bans in Germany [4]. - Other Chinese brands, such as BYD, have also faced patent lawsuits from members of the Avanci patent pool, highlighting a growing trend of patent challenges against Chinese companies in Western markets [4]. - The increasing patent litigation against Chinese brands signifies that intellectual property has become a critical competitive factor for their globalization efforts, necessitating strategic considerations to overcome the "patent ceiling" [4].

Core Insights - After two years of significant decline, preliminary estimates indicate that RAN total revenue (including baseband, radio hardware, and software, excluding services) outside of China has achieved growth for three consecutive quarters as of Q2 2025 [2] - Market conditions remain stable, but overall market sentiment is still low, with no rapid rebound expected [2] - The dynamics among RAN suppliers are shifting, driven by three trends: the strong getting stronger, laggards making no progress, and increasing market differentiation [2] Regional Performance - Growth in Europe, the Middle East, and Africa nearly offsets declines in the Caribbean, Latin America, and Asia-Pacific regions [2] Market Share - Ericsson and Huawei each hold over 60% market share in North America and China, respectively, in the first half of 2025 [2] - The top five RAN suppliers based on global revenue over the past four quarters are Huawei, Ericsson, Nokia, ZTE, and Samsung [2] Short-term Outlook - The short-term outlook remains unchanged, with RAN total revenue expected to stabilize in 2025 [3]

Core Insights - Nokia has been selected by INX-ZA to modernize its exchange infrastructure, enabling faster and more resilient internet connectivity in South Africa [1][5] - The upgrade will include the deployment of Nokia's high-performance IP routing portfolio, offering new 400GE and expanded 100GE services [4][9] - This initiative aims to enhance the scalability and efficiency of INX-ZA's infrastructure, addressing limitations of aging platforms across Africa [2][5] Company Developments - INX-ZA will upgrade its Internet Exchange Points in Johannesburg, Cape Town, and Durban, starting with Johannesburg, which has maintained 100% uptime since 1996 [3][12] - The expansion of JINX will increase the number of data centers from seven to ten by year-end, deploying thirty high-performance platforms [3][4] - The deployment will utilize Nokia's 7250 Interconnect Routers and Service Router Operating System (SR OS) to enhance service offerings for peering partners and ISPs [4][6] Industry Impact - The modernization of INX-ZA's infrastructure is expected to lay the groundwork for similar transformations across Africa's legacy exchange points [5][6] - This upgrade is crucial for South African ISPs, cloud providers, and enterprises, promoting a more efficient and high-performance network infrastructure [5][7] - The collaboration between Nokia and INX-ZA reflects a commitment to delivering resilient and sustainable digital infrastructure in South Africa [7][12]