Vodafone Idea Limited has recently struck a $3.6 billion deal with Nokia, Ericsson, and Samsung for the supply of network equipment over the next three years. This investment is part of the company’s three-year capital expenditure plan of USD 6.6 billion and will be used to expand 4G population coverage and launch 5G services in key markets. The company aims to increase capacity to meet the ever-growing demands of data.
By retaining Nokia and Ericsson as long-standing partners and bringing Samsung on board as a new partner, Vodafone Idea hopes to leverage cutting-edge equipment to enhance customer experiences. The insights and expertise gained by these vendors in the Indian market over the last two years will help the company implement a more flexible and modular rollout plan, customizing services for advanced technologies like 4G and 5G. Additionally, the new equipment will bring energy efficiency benefits, reducing operational costs for Vodafone Idea.
Supplies from these new long-term agreements with Nokia, Ericsson, and Samsung are expected to begin in the upcoming quarter. Vodafone Idea’s primary focus is to extend 4G coverage to 1.2 billion people across India. Following recent equity raises and spectrum acquisitions, the company has already implemented several “quick win” capital expenditure projects, including deploying additional spectrum at existing sites and establishing new ones, leading to an increase in capacity and population coverage.
Akshaya Moondra, CEO of Vodafone Idea Limited, expressed the company’s commitment to investing in emerging network technologies to provide a best-in-class experience for customers. He highlighted the initiation of the investment cycle and the company’s transition into VIL 2.0, marking a smart turnaround for Vodafone Idea. The company’s longstanding relationships with Nokia and Ericsson have been further solidified, while the new partnership with Samsung brings fresh opportunities as Vodafone Idea transitions into the 5G era.
As a result of these rollouts and investments, customer experiences have improved in regions where the projects have been completed. The ongoing focus on expanding 4G coverage, launching 5G services, and increasing capacity signals Vodafone Idea’s commitment to staying at the forefront of providing cutting-edge telecommunications services to customers across India. With the support of its partners, Nokia, Ericsson, and Samsung, Vodafone Idea is poised to make significant strides in the industry and remain competitive in the evolving telecom landscape.
