STOCKHOLM: Finnish telecom firm Nokia has suffered a setback after a source close to the matter confirmed it had lost out to Samsung Electronics on a part of the contract to supply new 5G equipment to Verizon in the United States.
With this $6.64 billion contract win, Samsung has reinforced its position as a challenger to the dominance of Nokia and its Nordic rival Ericsson (ERICb.ST) in selling telecom gear, after China’s Huawei was barred from bidding for 5G contracts in the United States.
The loss for Nokia comes after its new Chief Executive Pekka Lundmark took the top job in August, but the source said negotiations were going on before he took charge. A Nokia spokeswoman declined to comment on the loss.
“We play a critical role in enabling Verizon’s 3G and 4G networks and continue to work with them to accelerate innovation in 5G,” she said. “They remain a top three global customer.” –Agencies
