Ericsson and T-Mobile sign $3.5bn 5G deal

Doris Richards
September 13, 2018

The arrangement builds on a previous $3.5 billion 5G network gear deal that T-Mobile signed with Nokia in July.

The operator also reports that Ericsson will supply hardware and software across all spectrum bands available to T-Mobile (including the carrier's 28 GHz millimeter wave - high frequency spectrum particularly important for facilitating 5G speeds).

Ericsson announced a new Dollars 3.5 billion contract to support T-Mobile's nationwide 5G network deployment in the US.

As part of the agreement, Ericsson would provide T-Mobile with the latest 5G New Radio (NR) hardware and software compliant with the "Third Generation Partnership Project" (3GPP) standards.

"While the other guys just make promises, we're putting our money where our mouth is", blurted TMUS CTO Neville Ray in the approved corporate style.

T-Mobile US Inc. also becomes the first publicly announced customer of Ericsson AB (Nasdaq: ERIC)'s modified radio access network (RAN) platform. Telstra, which is hosting the event, claims to have its 5G network already up and running using 13 mobile towers in the Gold Coast, one in Toowoomba, and one in Brisbane, with 200 more to go live by year's end.

The deal comes amid a flurry of 5G activity in the USA market, where all four of the nationwide mobile networks are gearing up for investment in the next-generation technology.

Indeed, this deal follows one the USA wireless operator made with Nokia, earlier in the year.

Not to be outdone, Verizon announced this week that it successfully made the first over-the-air, end-to-end data transmission on a commercial 3GPP 5G New Radio (NR) network in Washington, DC.

"We have recently chose to increase our investments in the U.S. to be closer to our leading customers and better support them with their accelerated 5G deployments; thereby bringing 5G to life for consumers and enterprises across the country", added Niklas Heuveldop, Ericsson's North American chief.

The Ericsson agreement is the company's second recent multi-billion dollar 5G deal.

T-Cell and Ericsson have signed a $Three.5 billion settlement to manufacture out T-Cell's 5G infrastructure. "Together with our partners we are continuing to prove the readiness of both the underlying technology and the ecosystem".

Fredrik Jejdling, Executive Vice President and Head of Networks at Ericsson, says: "This accomplishment shows that 5G is ready for business".

Other reports by Iphone Fresh

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