Mobile partners with Nokia in $3.5 billion 5G network deal

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Nokia said on Monday it had signed an agreement to provide United States mobile carrier T-Mobile with 5G network gear and services worth three billion euros.

T-Mobile has announced that it's partnered with Nokia to build its 5G mobile network.

Nokia will supply a range of 5G hardware, software, and cloud services to T-Mobile to help them deliver broad coverage at ultra high-speed capacity.

Phil Kendall, executive director at Strategy Analytics, earlier said the 5G deployment and adoption will be the main merger benefit for USA consumers, though everything comes at a cost.

Germany's Deutsche Telekom-owned T-Mobile and Japan's SoftBank-promoted Sprint are now waiting for approval from FCC and other authorities to club their business in the US. As part of the deal Nokia will provide T-Mobile with all of its 5G technology, software and services.

The multi-year supply deal is, reportedly, the largest 5G deal ever and a sign of a wireless upgrade cycle.

5G networks can deliver faster speeds for mobile phone users and make networks more reliable and responsive for use in new industrial information, medical monitoring, driverless cars and more.

The network equipment business, which is led by three big players - China's Huawei HWT.UL, Nokia and Sweden's Ericsson (ERICb.ST) - has struggled with flagging growth since the current generation of 4G mobile equipment peaked in 2015.

In today's announcement, T-Mobile Chief Technology Officer Neville Ray said that his company is "all in on 5G", and unsurprisingly took the opportunity to point out how much better things will be should T-Mobile be allowed to merge with Sprint. T-Mobile and Sprint, are using 5G to win President Donald Trump's backing for their merger that will reduce the USA mobile market from four players to three.