Nokia, which was expected to take Ericsson’s market share in China, did not receive any share, according to a tender document published by Chinese companies.
Ericsson, which warned it would lose market share in China due to a ban on Chinese equipment suppliers in Sweden, reported its share in China Mobile up 2% from 11% last year, while Nokia received 4% of the announced contracts https: // www .reuters.com/technology/nokia-wins-first-5g-radio-contract-china-2021-07-19 in July.
European governments have tightened controls on Chinese companies building 5G networks following diplomatic pressure from Washington, which claims that Huawei’s equipment could be used by Beijing for espionage. Huawei has repeatedly denied posing a risk to national security.
Nokia, which returned to the path of growth after correcting its earlier product errors and won share in several markets, said it was aware of the results of the auction in China.
“We respect the customers’ decision and remain committed to continuing to support the business of China Telecom and China Unicom in the future,” a spokesman said.
This was the second phase of contracts for 5G radio from Chinese telecom operators and covered thousands of new base stations.
Although Chinese markets are highly competitive and price sensitive, the huge volumes of 5G equipment deployed in the country make it an attractive market.