There are substantial savings on network equipment available to Indian telecom providers including Vodafone Idea, Bharti Airtel, and Reliance Jio.
In an effort to gain market share in developing nations, particularly India, vendors such as Nokia and Ericsson are providing these businesses with discounts of 30–40%.
Telecoms, Including Vodafone Idea, Secure Up to 40% Equipment Discount
Due to the fact that many nations have already implemented 5G, vendors who face restricted significant business chances globally were relieved by the equipment contract, which was worth ₹30,000 crore and included difficult negotiations.
Analysys Mason claims that Indian telecom operators receive a 40% discount on 5G base transceiver stations, which are normally priced at $50,000 (about 42 lakh).
Due to lower spending by network operators in North America and Europe, equipment makers Ericsson, Nokia, and Samsung saw drops in revenue in 2024.
Despite robust sales from July to September 2023, Indian revenues fell 44% to 69% during four successive quarters, indicating that the revenue shortfall was primarily limited to Western nations.
India continues to be a vital market for equipment manufacturers despite the drop in income.
Vendors are reportedly in negotiations with Bharti Airtel for a $1 billion-2 billion (₹8,408 crore to ₹16,816 crore) agreement to supply 4G and 5G equipment, following Vodafone Idea’s ₹30,000 crore deal.
Vi Will Buy Rs 36,000 Crore Of Equipments From Nokia, Ericsson and Samsung
Vodafone Idea (Vi) on Sunday concluded a deal worth $3.6 billion with Nokia, Ericsson and Samsung for supply of network equipment over a period of three years.
Vodafone Idea Launches $6.6 Billion Capex Plan to Expand 4G and Roll Out 5G
The Cash-strapped, debt-ridden company said that the deal marks the 1st step towards the rollout of the company’s three-year capex plan of $6.6 billion (Rs. 550 billion).
As per the company, the aim of the capex programme to to drive the expansion of the 4G population coverage from 1.03 billion to 1.2 billion, launch of 5G in key markets and capacity expansion in line with data growth. “The Company has continued with its existing long-term partners Nokia and Ericsson and also onboarded Samsung as a new partner.”