Ericsson inks $3.5 billion 5G deal with T-Mobile US

Donna Miller
September 14, 2018

Though it's hard to compare just how much each carrier is investing in 5G, the statements seem to be kind of true: T-Mobile has now signed two major deals with networking companies, and 5G was also the focus of its upcoming merger with Sprint, which has also teased "the first 5G smartphone in the U.S." for next year.

This is the biggest 5G deal so far, for network gear maker Ericsson and is worth some $3.5 billion.

T-Mobile, the third biggest US mobile carrier, said in February it was working with Ericsson and rival network vendor Nokia of Finland to build out 5G networks in 30 USA cities during 2018.

First to launch 5G residential broadband service in four United States markets, Verizon announced it will be first to launch 5G residential broadband service in four markets in the U.S. - Los Angeles, Sacramento, Houston and Indianapolis - in H2, followed by a mobile 5G platform.

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Neville Ray, Chief Technology Officer, T-Mobile, said: "While the other guys just make promises, we're putting our money where our mouth is".

The agreement also adds Ericsson's digital services solutions, including dynamic orchestration, business support systems (BSS) and Ericsson Cloud Core, helping T-Mobile take 5G experiences to the market. In its deal with Ericsson, the "uncarrier" notes that it will use the infrastructure supplier's 5G portfolio to expand existing LTE capacity needs while "future-proofing the network". In fact, T-Mobile says it actually already has some Ericsson radios that can run 5G New Radio technology with a remote software installation. "We're pondering our partnership with T-Cell, supporting them to abet, originate better and hotfoot up the deployment of their nationwide 5G community".

Furthermore, Ericsson will provide hardware and software from its market-ready 5G Platform, such as their Ericsson Radio System portfolio. He is in love with technology and if he had his druthers would beta test everything from shoe phones to flying cars.

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