Taiwan Mobile (TWM) preferred Nokia over Huawei in a $450 million 5G deal

Nokia has won a major 5G contract with Taiwan Mobile (TWM) worth approximately $450 million. Taiwan Mobile is the second-largest telecommunications company in the country just behind Chungwa Telecom.

Nokia will be supplying the Taiwanese operator with 5G RAN, 5G Core, and 5G IMS solutions in the next three years. This three-year framework contract involves deployment of 5G non-standalone, with the aim to migrate to 5G standalone infrastructure by the end of the contract. It will also provide digital design and deployment services to the operator.

“We have enjoyed a long-standing partnership with Taiwan Mobile, supporting them in the delivery of 2G, 3G, 4G networks and we look forward to continuing this in the 5G era as their sole supplier,” said Tommi Uitto, President of Mobile Networks at Nokia in a press release.

“Our end-to-end portfolio, global reach, and commitment to a more sustainable world will help Taiwan Mobile execute its ambitious 5G strategy and plans for a fast roll-out.”

The pressure against China in the 5G race led Nokia to exit China’s 5G radio access market after failing to get a share of major China Mobile contracts. This multi-year contract with Taiwan Mobile will help the company’s 5G business which has been under pressure in the past few years against competitions like Huawei and Ericsson.

According to Jamie Lin, President at Taiwan Mobile, the two companies will work together to promote “Super 5G Strategy.” This will integrate multiple vertical applications including smart e-commerce, smart stadium, smart healthcare, and smart manufacturing. These smart applications are aligned to Nokia’s long-standing commitment to sustainability.

During the United Nations’ climate summit last year, Nokia joined the group of 87 companies committed to recalibrating existing science-based climate targets in line with the 1.5°C warming scenario. As a result, the company has delivered zero-emission products to over 150 customers globally and modernized existing customer base-station sites in 2019, resulting in a 46% less energy consumption.