Ericsson expands ties with Vodafone Idea for 4G, 5G deals

Swedish telecom equipment company Ericsson announced on Monday that it has secured contracts for 4G upgrades and 5G equipment supply from Vodafone Idea in India. With these new deals, Ericsson will increase its share of the network, according to the company.

Under these agreements, Ericsson will upgrade Vi’s 4G infrastructure and deploy 5G services in the regions it already supports. Additionally, Ericsson will provide 4G and 5G services in key telecom circles, including Delhi, Kerala, Chhattisgarh, and Rajasthan, further solidifying its market presence with Vi.

As part of the contract, Ericsson will introduce energy-efficient technologies, including the Ericsson Radio System with mid-band Massive MIMO antenna-integrated radios, to optimise network performance for Vi.

The rollout of 5G is a crucial part of Vodafone Idea's strategy to enhance its network's capabilities, offering faster and more reliable connectivity to meet the increasing demands of its customers. Vi’s CEO, Akshaya Moondra, said, "Working with Ericsson allows us to modernise our 4G network and rapidly deploy a world-class 5G network. The 5G rollout will help us manage the growing data traffic, ensuring secure and reliable connectivity while enhancing customer experiences."

Andrés Vicente, Head of Ericsson's Market Area Southeast Asia, Oceania, and India, said, "5G is a key enabler of digital transformation and economic growth. With our cutting-edge technology, we aim to empower Vi to deliver scalable, fast, and reliable 5G services to its customers."

In addition to the Ericsson deal, Vodafone Idea recently announced a $3.6 billion (approximately ₹300 billion) network equipment supply contract with Nokia, Ericsson, and Samsung over the next three years. This investment is part of Vi's larger three-year capex plan of $6.6 billion, aimed at expanding 4G coverage from 1.03 billion to 1.2 billion people, launching 5G in key markets, and increasing network capacity to accommodate growing data usage.

This announcement follows similar moves by Bharti Airtel, India's second-largest telecom provider, which plans to issue orders worth approximately $1 billion to Ericsson, Nokia, and Samsung for 4G network equipment in the next three years to enhance its smartphone user base and increase revenue per user.