It’s not every day that you come across a new carrier staffed by senior executives who are promising to “reset the industry”. But this is the bold claim made for US newcomer Lightsquared by the firm’s executive vice president of ecosystem development and satellite systems, Martin Harriman. Lightsquared aims to redefine the operator business model altogether, as Harriman will be explaining during his presentation at this year’s LTE World Summit in May.
India’s Telecoms Regulatory Authority (TRAI) is proposing new rules to compel telecoms service providers to source the bulk of their equipment locally. Under the proposed rules, products that are manufactured locally – whether by Indian or foreign-owned companies – should be given preference in both public and private sector purchase decisions.
Motorola and Huawei have pulled out the peace pipes, announcing today that they have entered into an agreement to settle all pending litigation between them, “pending the satisfaction of certain conditions.” In a joint statement, the pair expressed “regret that these disputes have occurred between our two companies,” with Motorola CEO Greg Brown adding that the company valued its long-standing relationship with Huawei and had decided to “return to our traditional relationship of confidence and trust.”
Nokia Siemens Networks is rumoured to be seeking a renegotiation the terms of its bid to acquire Motorola’s wireless network assets. The planned deal, valued at $1.2bn, has been moving at a glacial pace since its inception in July last year, thanks largely to the Chinese Anti-Monopoly Bureau’s (MOFCOM) reluctance to approve it.
Press reports that LightSquared may be considering ditching its managed services deal with Nokia Siemens Networks in favour of a network sharing deal with Sprint Nextel raises important issues about what mix of network consolidation and outsourcing is most appropriate for the US market, or any advanced mobile market for that matter.
Nokia Siemens Networks has said that its planned acquisition of Motorola’s wireless infrastructure assets will not now complete in the first quarter of this year, as it had previously predicted. The deal had already been pushed back from the fourth quarter of 2010 and NSN is now offering “no further guidance” on when it may be finalised, stressing only that it remains committed to the acquisition.
O2 Germany will launch commercial LTE services on July 1st this year. The announcement, which was made at a CeBIT press conference yesterday, was sketchy on details regarding speed and pricing. The new network will reportedly offer speeds in line with an “average DSL connection” and run on Nokia Siemens Networks and Huawei kit.
The sudden departure of Broadband Infraco CEO Dave Smith on Friday last has left the South African stated-owned network infrastructure company’s future in doubt. Smith’s resignation comes just three months after the company launched its first commercial services.
Carrier Ethernet Solutions (CES), a joint venture between Nokia Siemens and Juniper Networks has announced the launch of Carrier Ethernet Transport 2.0 (CET), aimed at helping operators to balance capacity and cost across their networks. The solution introduces two new switches from Nokia Siemens: A-Series 1200 and 1210, which promise higher capacity with lower costs to [...]
Vodafone Hutchison Australia (VHA) has announced plans to rip and replace its entire network of 2G and 3G base station equipment following months of customer complaints about the quality of its service. The complete overhaul will see 2G equipment at every one of VHA’s 8,000 mobile base stations replaced with Huawei 3G kit, promising customers speeds of up to 42 Mbps while improving coverage.
Nokia Siemens Networks and its competitor ZTE have both announced contract wins in the high growth Indian market. NSN said it has secured a deal to supply, deploy and manage an HSPA+ network for Indian carrier Aircel in three of the nation’s telecom circles; Punjab, Kolkata and rest of West Bengal. The win is an extension of the firms’ existing relationship, that sees NSN manage Aircel’s GSM/EDGE network in six Indian circles. Aircel is a subsidiary of Malaysian player Maxis.
LTE pioneer TeliaSonera has launched Finland’s first commercial LTE service, in the cities of Turku and Helsinki. The Nordic and Baltic specialist activated the world’s first LTE service in Stockholm and Oslo a year ago.As in the Swedish and Norwegian deployments, service will be limited to dongle-enabled laptop access, with Korean vendor Samsung supplying the dongles.
Nokia Siemens Networks has won a five-year deal from Telekom Austria Group (TAG) to improve the carrier’s mobile networks performance and energy efficiency. The firms did not announce the value of the contract.
Consumers are unlikely to buy mobile services based on speed of throughput and operators’ LTE deployments will even out so quickly that LTE in itself will not be an effective competitive differentiator, according to Mark Neild, head of business transformation, Western Europe, at Nokia Siemens Networks.
Infrastructure vendor Nokia Siemens Networks has announced that it is to acquire “certain network infrastructure assets” from US competitor Motorola for $1.2bn. The Finnish-German joint venture said that it expects to gain new relationships with 50 wireless carriers and strengthen existing commercial ties as a result of the deal, which the two firms expect to close before the end fo 2010.
In a development that may give infrastructure suppliers cause for concern, it has emerged that 4G pioneer TeliaSonera selected its LTE vendor partners exclusively on price, having found nothing to distinguish them from one another within the technical performance of their products.
Charging ahead: A look at the range of new billing models for mobile operators
Issue #164 April 2010
Michael Matthews is head of strategy and business development at Nokia Siemens Networks. He joined the firm in September 2008 from Amdocs, where he was the chief marketing officer. He shares his views on the industry and the future of NSN with telecoms.com.
Published by Nokia Siemens Networks
It is a sign of the times – communication service providers (CSPs) are starting to emphasize the quality of their all-round customer experience rather than just the raw speeds or other technical features of their offerings. Take O2 – in the UK it has been advertising its Home Broadband service as “voted number one in customer satisfaction”. Meanwhile, Vodafone’s CEO, Vittorio Collao, told investors in late 2008 that one of the core pillars of its strategy now is to ”…drive operational performance through customer value enhancement”.
Beresford Wylie joined Nokia in 1998, and has had responsibility for the merged Nokia Siemens Networks since it was created in 2007. Almost immediately the problems began, with the firm issuing a profit warning. Along with Alcatel Lucent, NSN has proven how complicated it is to manage a merger of such scale.