Nokia gets some Telia love with 5G mall win

Swedish operator group Telia showed it’s not entirely monogamous with Ericsson by picking Nokia to run its new 5G network in the new Mall of Tripla in Helsinki.

While a single shopping centre might not seem like the biggest deal win, it will serve as a case study into all the capacity goodness promised by 5G. Using both Nokia base stations and small cell gear, shoppers at the mall will presumably be able to download the entire internet in one nanosecond and all the other good things promised by 5G enhanced mobile broadband.

“We are seeing increased demand for better connectivity at shopping centers, stadiums and large events, which is why the 5G network rollout at the Mall of Tripla is a milestone for both Nokia and Telia,” said Ari Kynäslahti, Head of Mobile Networks Product Management at Nokia.

I am particularly proud of the way our 5G AirScale Indoor Radio small cells have been able to be discretely installed inside the mall for excellent, seamless indoor coverage. The retail industry has the potential to be one of the big beneficiaries of 5G and we are excited to see how consumers and businesses benefit from this 5G network at the largest shopping center in the Nordics.”

Of course all that lovely bandwidth isn’t just about downloading movies, etc. There is an expectation that retail will be able to use both augmented and virtual reality to enhance the shopping experience in some way. On top of this being a handy case study for Nokia, it will be pleased to be reminded there is still room in Telia’s heart for it after being snubbed in Norway.

Ericsson benefits from Telia Norway’s snub of Huawei and Nokia

Ericsson has announced it will be the sole RAN vendor for Telia Norway, with the pair driving towards completing a nationwide rollout by 2023.

While the duo already had a relationship in place, Huawei might have hoped this was a market it would benefit in. At the end of September, the Norwegian Government indicated it was not going to pass a wide-spread ban on Huawei equipment, while the Chinese vendor has signed an MOU with the telcos parent company and does have a relationship to supply 4G network infrastructure equipment with the Norwegian subsidiary.

Telia Norway might not be the biggest telco, nor does it have the largest network, though being announced as a sole supplier is an ego boost if nothing else. The fact that this is a Nordic deal win might have some extra significance in Ericsson’s rivalry with Nokia. Being Swedish you might expect Telia to favour compatriot Ericsson, but it has no problem working with Nokia in Finland. Maybe Telia didn’t appreciate having one of its execs poached by Nokia.

“We are pleased to strengthen our position in the Nordic countries,” said Ericsson President of Europe and Latin America Arun Bansal. “As Telia Norway’s sole radio access network vendor, we’re working closely with them to bring the best possible commercial 5G experiences to their subscribers.

“5G is an innovation platform that not only delivers fantastic enhanced mobile broadband experiences but will also enable Telia Norway to pursue innovation opportunities with customers in the Internet of Things (IoT) and Industry 4.0. across industry, enterprise and society.

“We are currently live with commercial 5G in 19 customer networks across 15 countries, spanning four continents. We look forward to adding Telia Norway to that list in 2020, alongside many other new customers in Europe and beyond.”

As part of the agreement, 5G New Radio will be deployed across the network, while Ericsson’s spectrum sharing software will also be implemented, allowing Telia to share its spectrum between 4G and 5G use. The plan is to launch commercial services next year, with the intention of hitting nationwide coverage by the end of 2023.

What is worth noting is that while Huawei might have been in the picture during the trial period, let’s not forget the Telia parent company is headquartered in Sweden, and the business has been running extensive trials with Ericsson for some time.

In Stockholm and Tallinn, TeliaSonera and Ericsson entered into a strategic partnership to let enterprise customers test 5G services in mid-2018, while the pair turned on the country’s first 5G network together at KTH the Royal Institute of Technology in Stockholm in December. Ericsson has also been working extensively with the Telia team in Estonia, focusing on the Port of Tallinn amongst other areas.

The Telia Norway agreement now takes the number of publicly named commercial 5G contracts at Ericsson up to 27. Although this might not be as high as its direct competitors, Nokia has 48 and Huawei has 50, Ericsson equipment is now part of 19 live network launches around the world.

Norway says yes to Huawei

The Norwegian Government has said it will not ban Huawei from providing network infrastructure equipment or services to fuel the drive towards 5G.

According to Reuters, Cabinet Minister Nikolai Astrup, the man who leads digital efforts across the government, has confirmed Huawei is free to operate in the country. While it is not the largest market for telco vendors, it is another positive sign that not everyone around the world will side with the US.

“We have a good dialogue with the companies on security, and then it is up to the companies themselves to choose suppliers,” said Astrup. “We haven’t got any bans against any suppliers in Norway.”

For Huawei executives, there will be a sigh of relief. Norway was one of the countries which was considering a ban on the grounds of national security, though this now appears to be a process designated to the past. It also demonstrates decisive action from a government; others around the world should take note.

Although Norwegian telcos fall into the fast-follower category for 5G deployment, they now have the advantage of certainty. Other countries, where services are already launched, do not have this confidence as decisions are still currently being made. The UK is a prime example of this.

The Supply Chain Review, on which Huawei’s hopes are pinned, is still under consideration. EE, Vodafone and Three might have already launched 5G services, though they are currently sitting in a state of purgatory. Without absolute confirmation of Huawei’s role in the UK’s digital infrastructure future, aggressive deployment plans are tricky. This is most apparent for Three and Vodafone, where Huawei is pencilled in to play a very significant role.

This dilemma is not present in Norway anymore. Telenor, Norway’s largest telco, plans to launch commercial 5G services in 2020 and can drive towards full-scale network deployment without any limitations on vendor selection from the government. We do not expect any single vendor will be a single-supplier, though it does have increased choice of suppliers compared to other nations.

Elsewhere in the Norwegian telco space, Telia and Ice will also be prepping themselves following the country’s first 5G spectrum auction in June. At the end of the auction, Telenor and Telia each walked away with two 10 MHz blocks 700 MHz spectrum, while Ice collected two 10 MHz blocks in 700 MHz and two 15 MHz lots in the 2100 MHz band. Further auctions are planning over the next few years, with the valuable 3.4-3.8 MHz and 26 GHz bands up for bid next year.

Looking at the relationships which are currently in place, Telenor and Telia have a partnership with Huawei, while Ice has elected to side with Scandinavian neighbour Nokia. Most recently, Telenor has been working with Huawei to trial 5G in the 26 GHz spectrum band, while Telia’s Swedish parent company signed a 5G MOU with Huawei in 2016. Both of the companies have Huawei equipment present in the 4G networks.

Ice is the smallest telco in Norway, it doesn’t have nation-wide coverage just yet, and has elected to work with Nokia. Nokia appears to be providing an end-to-end solution for the challenger telco, which is claiming to have already deployed 1000 5G-ready base stations in its network. Ice is an interesting telco to keep an eye-on, as while it is driving towards 5G connectivity, it still has a significant amount to invest to gain nation-wide coverage for its 4G network, which currently stands at 75% geographical coverage. This might not sound too bad, though when you consider the environmental challenges Norway’s landscape presents, it will be very difficult to improve this footprint quickly.

Another interesting element to consider here will be the impact this has on the relationship between the US and Norway. The US is continuing to pressure partners to place a ban on Huawei, and despite making progress in Poland, more countries are choosing to ignore the demands of the White House.

Looking at the Norwegian export statistics, you can see why the US does not have the same influence as it does with other states. Norway is the 36th largest export economy in the world and the 22nd most complex economy according to the Economic Complexity Index (ECI). Exports stood at $106 billion at the end of 2017, with crude petroleum and petroleum gas topping the list.

In terms of destinations, Europe accounted for 80% of all exports from the country, the UK led the way with 20%, while the US accounted for 4.7%. This is still a substantial number, though the US cannot force its will on the politicians in the same way.

Although the continued conflict between the US and China, in which Huawei is somewhat of a proxy for collateral damage, is causing discomfort for the vendor, it could be a lot worse. Worse case scenarios were drawn-up when the tension got to breaking point, though with numerous governments choosing to ignore the severity claims from the US, Huawei remains in a healthy(ish) position.

Nokia taps Telia for new head of strategy

Finnish network vendor Nokia has decided its strategy should be directed by Gabriela Styf Sjöman, formerly of Swedish operator group Telia.

Sjöman (pictured) will replace long-time Chief Strategy Officer Kathrin Buvac, who isn’t leaving Nokia, but will now focus entirely running Nokia’s enterprise division. This move would appear to signify that the enterprise business group, which was only created at the start of this year, requires Buvac’s undivided attention. Whether or not this is because it’s going well or badly remains to be seen.

It seems like a good idea to have operator expertise in a networking vendor strategy team and Sjöman is presumably up to speed on the techie side too, her most recent role at Telia being at the head of its networks division. Nokia is also making much of the fact that she has lived all over the world, having grown up in Mexico and got an MBA from Durham University in the UK.

“We are delighted to welcome Gabriela to Nokia at a pivotal moment in our 5G journey,” said Nokia CEO Rajeev Suri. “She brings a wealth of international knowledge and a deep understanding of our industry, its customers and technologies. Her insight will be critical in refining our strategy for the future. I also want to thank Kathrin, who has continued to lead our strategy organization in addition to her role as President of Nokia Enterprise since January this year.”

“I am excited to join Nokia at such a pivotal time,” said Sjöman. “With its broad portfolio and innovative technology, Nokia is well positioned to help its customers realize the full potential of 5G, and I look forward to being part of further strengthening Nokia in this 5G journey.”

Back in Sweden Nokia rival Ericsson has unveiled its replacement for Rafiah Ibrahim, who decided to call it a day back in March. Fadi Pharaon is being promoted from his current position as VP of networks and managed services in the Europe and Latin America group. He is an Ericsson lifer who seems to have had executive roles for the company in every part of the world.

“With the introduction of 5G we are at an exciting time in the industry,” said Ericsson CEO Börje Ekholm. “Our customer relationships are key to build a strong company position in the market for this next phase of industry development. Fadi has the right background, experience and capabilities to lead this work in this Market Area and I am very pleased to see him stepping up to this role.”

“The mobile industry is transforming countries and industries and with 5G becoming a reality, we will see new business opportunities and innovations across our markets,” said Pharaon. “I really look forward to taking on this exciting new role in Market Area Middle East & Africa and work together with both the team in the Market Area as well as the Executive Team. Our abilities to work closely with our customers in our market areas are key to leveraging our technology leadership in 5G.”

We can probably expect every significant announcement from either company to be framed in this ‘now that 5G has arrived’ way. The commercial opportunities presented by 5G are far more diverse and complex than by any previous mobile technology generation, so strategy maybe more important than ever when it comes to capitalising on the 5G opportunity.

Telia toys with facial recognition for ice cream payments

In the ever-lasting search for 5G usecases, Telia has teamed-up with Finnish bank OP to trial facial recognition payment solutions.

While facial recognition technologies are taking a bit of a reputational beating at the moment, there are promising usecases in the pipeline. The issue which is not being discussed here, though certainly warrants more attention in the public domain, is the ethical, responsible and transparent application of the technology.

However, this example, authenticating payments, would appear to be a very logical application of the technology.

Firstly, biometrics are becoming increasingly normalised in payments and financial services authentication through fingerprints or vocal recognition, this is just one step further. Secondly, it is theoretically more secure than current identification and authentication techniques. And finally, banks already have trusted relationships with the consumer, and are yet to be caught up with a privacy scandal.

“Facial payment is a good example of a service that benefits from the capacity increase and lower latency of 5G,” said Janne Koistinen, Head of Telia Finland’s 5G programme. “5G will also take the security of mobile connections to the next level, which is interesting for example for payment and other financial services.”

Using the biometric template uploaded through a camera prior to the purchase with the customers bank, a connected device is used by the merchant to authenticate the individual. The customer then authorises the purchase with a simple click once their face has been recognised.

However, 5G would appear to be key here, largely thanks to the advances in lower latency which can be experienced. Slow service could certainly hinder experience and the commercial benefits promised.

“Besides security, a smooth user experience is important for customers,” said Kristian Luoma, Head of OP Lab. “5G makes the service faster and is therefore the perfect partner for Pivo Face Payment. We believe that the trial with Telia opens a new window to the future.”

Although fingerprints and vocal patterns are theoretically unique to each person, there are environmental factors which might hinder authentication. For example, dirt or grease stop the fingerprint reader from worker, or background noise could impact performance for vocal readers.

Facial recognition is also cheaper. Most smartphones or tablets already have a camera, so no specialist equipment needs to be built into the devices. The camera does not need to be high-end, just functional, therefore the expense is mainly on the software side. It is also a lot more accessible, in that everyone has a face and rarely covers it up when in a store.

For the moment, this trial has been limited to an ice-cream van in Vallila, though it is easy to see the wider applications in numerous different settings.

The challenge which such initiatives might face is the increasingly negative perception of facial recognition. This reputation the technology is working up is largely down to the unethical or secretive application in surveillance. This is a much larger topic which needs to be discussed in the public domain, however this initiative does demonstrate the benefits of facial recognition.

Telia CEO hands in his notice

Johan Dennelind, CEO of Swedish telco group Telia Company, had decided to call it a day after six years at the helm.

Dennelind has a 12-month notice period, however, so he’s going nowhere in a hurry. But he’ll presumably be hoping they find his replacement sooner rather than later so he can have a nice big chunk of gardening leave and get some serious sauna time in.

“It is a true privilege to serve as President and CEO of Telia Company, one of Sweden’s oldest and largest companies,” said Dennelind. “During the last years I have, together with the Board and my team, implemented a transformation and re-alignment of Telia into a company that is well-positioned and well-equipped for the future.

“Telia Company is now entering a new phase with several opportunities for value-creation and with strong commitment from all our more than 20,000 employees. And it is after careful considerations that I now have decided to leave Telia and take on new challenges. I will continue in my role to drive our current agenda forward with full focus and commitment for as long as the Board wants.”

“During his six years as CEO, Johan has vigorously worked with the repositioning of Telia Company,” said Marie Ehrling, Chair of the Telia Board. “The culture and strategy of the company have changed fundamentally and Telia is today a company with strong business focus that truly represents responsible business. Johan’s strong and brave leadership has been crucial for this transformation. The Board and I regret that Johan has chosen to leave the company, but at the same time we respect his decision to take a new step in his career.

“I also want to emphasize the very strong cooperation we have enjoyed during Johan’s tenure as President and CEO. We have had several difficult and tough situations to address and the fact that Johan has always acted with strength and wisdom has been of great importance for the development of Telia. Johan has assured the Board that he will continue in his present role with full force as long as it is needed during his notice period. This secures continuity and focus on several important projects and processes in the company.”

It’s not known whether the new challenges Dennelind alluded to extend to more than sitting in small, hot, humid rooms, but if he does feel the need to get another job it looks like he can count on a good reference from Telia.

Europe wants another look at Telia’s move into broadcasting

Swedish telecoms group Telia wants to buy Bonnier Broadcasting but the European Commission reckons that might be bad for telly in Sweden and Finland.

Last summer Telia announced it was getting its cheque book out once more to buy Swedish company Bonnier Broadcasting, which runs TV channels in Sweden and Finland. At the time this seemed like a classic multiplay move, in which operators get into content in order to offer more complete communications bundles to their customers.

This sort of thing has taken place all over Europe for years, but the European Commission’s current mood seems to be hostile to such moves. “The in-depth investigation we are opening today aims to ensure that Telia’s proposed acquisition of Bonnier Broadcasting will not lead to higher prices for or less choice of TV channels for consumers in Finland and Sweden,” said Commissioner Margrethe Vestager.

The niggle is that Telia already licenses TV channels from broadcasters to put into bundles. “The proposed acquisition of Bonnier Broadcasting by Telia Company would create a vertically integrated player in the audio-visual industry in Denmark, Finland, Norway, and Sweden,” said the EC press release.

This could mean that Telia won’t let its telco competitors license Bonnier stuff, won’t let them advertise against Bonnier stuff and could even deny access to streaming applications to customers of its competitors. Those are all reasonable concerns but surely they apply to most M&A. Furthermore you’d think anti-competitive behaviour by a telco would be a matter for national regulators.

Telia has responded by saying it figured this would happen. In a press release headlined ‘Investigation into acquisition of Bonnier Broadcasting moves into phase 2 in line with expectations’, Telia indicated it had been in the loo-p with the EC’s concerns from the start and will use this phase to put its concerns to rest. It will presumably promise to be really, really nice to its competitors if the EC let it have this one tiny little acquisition.

“A phase 2 investigation into the acquisition of Bonnier Broadcasting is fully in line with our expectations and we now look forward to continuing the constructive dialogue with the European Commission,” said Jonas Bengtsson, General Counsel at Telia. We’re confident that any concerns following the in-depth investigation will be resolved.”

Telia bags a big NB-IoT gig

Swedish operator Telia is going to connect nearly a million smart meters using narrowband IoT technology.

The deal has been signed with technology services company One Nordic, which is going to connect approximately 900,000 electricity meters for Swedish electricity distributor Ellevio using the low power wireless protocol. This is Telia’s biggest NB-IoT deal to date but the company has been keen on the commercial potential of the technology for a while.

“NB-IoT is opening up a lot of new use cases for us,” said Björn Hansen, Head of IoT at Telia. “It provides deep indoor coverage, which is ideal for connecting utility meters underground or inside buildings. It also lets us deliver economies of scale that weren’t previously possible. We’re really pleased to be able to support One Nordic on this rollout and are excited to be part of the next generation of smart metering solutions for Ellevio”.

“ONE Nordic needed a flexible, future-proof solution that was economically competitive,” said Anders Malmberg, MD of Smart Metering at One Nordic. “When connecting meters across large geographic areas, economic considerations go far beyond the connectivity alone. Telia is able to provide a high performance fully-managed network that support us in our ambition to focus on delivering first-class services to Ellevio.”

“NB-IoT technology gives us broader and deeper coverage, which is ideal for rural and deep indoor locations,” said Johan Svensson Program Manager at Ellevio. “This allows enhanced machine-to-machine communication that fits perfectly with our smart grid development. It will also allow us to develop and deploy a wide range of new IoT devices and services for our customers in the future.”

While Europe is lagging the US and East Asia in many aspects of 5G the Nordics are doing their bit to drag us along. Telia seems to be conflating NB-IoT with 5G, as indicated by its Estonia launch late last year, while Ericsson is doing its best to further develop NB-IoT. In many ways the two technologies are independent of each other but their development and adoption seem to be happening in parallel so maybe this is an area in which Europe can claim some 5G leadership.

TDC hoovers up Danish spectrum in latest auction

The Danish Energy Agency has completed its latest spectrum auction, with TDC running away with the majority of the available assets.

Of the 20 blocks in the 700, 900 and 2300 MHz frequency bands, TDC won 14, the maximum available to the telco at this auction. 3 Denmark acquired two 10 MHz blocks in each of the 700 and 900 MHz bands, while TT Network, Telia and Telenor’s joint venture, two 5 MHz in the 700 MHz and two 10 MHz in the 900 MHz band.

“Several frequency blocks provide higher speed, longer range and stronger indoor coverage, which gives us a unique position to strengthen and develop the best coverage in Denmark,” said TDC CEO Allison Kirkby.

“TDC has connected all over Denmark for almost 140 years, and the new licenses ensure that Danish consumers, companies and society enjoy new experiences, services and the many opportunities that 5G offers.”

With ambitious plans to rollout 5G across Denmark by the end of 2020, this is certainly an aggressive sign of intent from TDC. The telco paid NOK 1.6 billion, roughly €210 million, for its haul, while 3 Denmark paid a total over roughly €68 million. TT Network paid €14 million for its 700 MHz assets and nothing for 900 MHz, though it will be charged with coverage obligations.

As it currently stands, according to Ovum’s WCIS database, TDC is currently the market leader with 42% market share, TT Network controls roughly 40% of subscriptions, while 3 collects the remaining 18%.

While these prices might seem ludicrously cheap in comparison to other spectrum auctions which have been taking place around the bloc, Denmark’s population of 5.8 million ranks it at 111th worldwide, while its land mass ranks at 130th.

Telia extends 5G reach to Estonia

Just a few weeks after lighting up a 5G network in Sweden, Telia has taken the connectivity euphoria across the Baltic Sea to Estonia.

In partnership with TalTech University, Telia has turned on Estonia’s first 5G network as a test bed for the university, as well as local companies and start-ups. The 5G network is a permanent installation using standardized and commercial 5G products.

“We hope to see new and exciting future services and business models built upon 5G,” said Kirke Saar, CTO at Telia Estonia. “Thus, different stakeholders are welcome to test the possibilities of the new technology at the TalTech University. It is the perfect place for this, combining technical knowledge, smart people and cooperation experiences with very different partners. Additionally, 5G technology supports our newly opened NB-IoT network which now has its first commercial user.”

“It´ll open limitless opportunities for communication in virtual world,” said Rector of TalTech Jaak Aaviksoo. “TalTech, Telia and Ericsson take this step together because we believe in the creativity of both scientists and students in using this platform and generating new ideas. 5G means a thousand steps into the future for the whole Estonia.”

This is of course not Telia’s first venture into the 5G world, having opened up the network at KTH the Royal Institute of Technology in Stockholm, earlier this month. This network has been poised as the first building block for 5G in Sweden.

The first task for the TalTech network will be a 4K live stream on the university campus of the network opening party from the Tallinn Old Town Christmas Market, which was recently voted the best in Europe.

The partnership will not limit the ambitions of those wishing to play around with the 5G network, though one of the first initiatives will focus on autonomous driving. TalTech´s self-driving car made its first official journey in September, though progress will surely be accelerated with the 5G input.

The next stage of the autonomous initiative will be establishing a vehicle-to-vehicle communication platform with Telia, while also optimising the vehicle structure with Silberauto, one of the biggest automotive companies in the Baltics.