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Ooredoo and Nokia expanded an existing relationship and will deploy private 5G across the operator's markets
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The move is part of Ooredoo's bid to strengthen its enterprise business
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EMEA has been a key growth market for struggling Nokia
Qatar-based Ooredoo Group has signed a Memorandum of Understanding (MoU) with Finnish telecom vendor Nokia to develop and deploy 5G private networks for a variety of industries.
Ooredoo Group operates in 10 countries in the Middle East, Africa and Southeast Asia. The partnership builds on an existing relationship between Ooredoo and Nokia. Nokia was selected by Ooredoo Group to deploy 5G-ready network in Algeria and Tunisia.
Under the expanded agreement, the pair will collaborate to “develop and deploy 5G private networks, delivering customized, innovative products and solutions.”
Private 5G is one of the most prominent use cases of 5G and will help Ooredoo Group offer new services and deepen its engagement with the enterprise sector. According to ABI Research, revenue from private 5G networks is likely to grow from $992 million in 2022 to around $45 billion in 2030, with a CAGR of 8%.
“This partnership marks the beginning of a collaborative effort to build capabilities and develop a pipeline for future opportunities in the 5G enterprise domain,” said Najib Khan, Group Chief Business Services Officer at Ooredoo.
Stephen Litjens, Nokia's VP of Enterprise Campus Edge Solutions, added: "The partnership will empower Ooredoo’s customers with cutting-edge 5G solutions that are optimized for enterprises. This will help organizations within these emerging markets [Middle East, North Africa, and Southeast Asia] to supercharge their digital transformation journey and continue to grow and innovate."
Private 5G momentum
As the 5G ecosystem continues to grow, service providers across the world are forming partnerships with telecom gear makers for a joint go-to-market strategy to start offering 5G-enabled private networks to several companies in the enterprise market. For instance, Telefonica has partnered with Nokia to provide high-speed, low-latency private wireless network solutions in Latin America.
In the Middle East, Nokia formed an alliance with Bahrain Telecommunications Company (Batelco) last month to provide private 5G networks to Governments and enterprises, across industry verticals. Nokia also has an agreement with Etisalat UAE to offer 5G private wireless services. The telcos are struggling to monetize their investment in 5G and are hopeful that private 5G network use cases will help deliver a faster return on investments.
In the recently announced quarterly results, the Middle East and Africa (MEA), along with Europe, is the only region where Nokia recorded a growth in revenue. The importance of the MEA region has grown for the company as revenue from other markets, like India, has come down. Nokia is also working with other service providers, like Zain and e&, in the MEA region.