Nokia Unit to Boost Cell Sites - Analyst Blog


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In order to enhance network efficiency, Nokia Corporation 's ( NOK ) wholly-owned subsidiary Nokia Solutions and Networks ("NSN") will deploy advanced software solution to its LTE cell sites.

Application of the new software through proper coordinated scheduling feature will not only eliminate interruption between adjacent base stations but will also boost FDD-LTE and TD-LTE network download speeds by up to 30%, even during peak hours.

Most LTE network stations apply non-standardized form of scheduling. Thus, implementation of NSN's Smart Scheduler to individual cell sites will not only maximize the radio frequencies of base stations but will also offer better network support to customers dwelling away from the base stations.

NSN's 4GLTE equipment is widely used by carriers and popularity wise, are positioned after Ericsson ( ERIC ) and Huawei. In the recently concluded fourth-quarter 2013, the NSN segment generated $4.2 billion of revenues, up 20% sequentially.

Recently, NSN won a major contract in Russia. VimpelCom Ltd. ( VIP ), the third largest telecom operator in Russia, selected NSN to provide equipment and services for its 4G LTE (Long-Term Evolution) network. Moreover, aggressive deployment of 4GLTE network across China coupled with higher capital spending on network up gradation in India, Korea and Indonesia may drive the company's top line going forward.

Nokia has decided to divest its core mobile handset and its services division to Microsoft Corp. ( MSFT ). The deal is expected to close in the first quarter of 2014. Post the divestiture, NSN will become the company's chief business division.

Nokia currently carries a Zacks Rank #2 (Buy).

ERICSSON LM ADR (ERIC): Free Stock Analysis Report

MICROSOFT CORP (MSFT): Free Stock Analysis Report

NOKIA CP-ADR A (NOK): Free Stock Analysis Report

VIMPELCOM LTD (VIP): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
More Headlines for: ERIC , MSFT , NOK , VIP

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