News 

The job cuts are wider restructuring to cut up to 14,000 roles by 2026 

Nokia has laid off nearly 2,000 employees in China, about 20% of its workforce in the country, with plans to cut an additional 350 jobs in Europe, according to a Reuters report citing two sources familiar with the matter.  

Speaking to Reuters, a Nokia spokesperson confirmed that discussions are underway regarding the European layoffs but declined to comment on the situation in China. 

As of December 2023, Nokia employed 10,400 people in Greater China and 37,400 in Europe, according to its annual report.  

The reduction in these workforces are part of a previously announced plan to cut up to 14,000 jobs globally by 2026, aiming to save between €800 million and €1.2 billion. By 2026, Nokia plans to have reduced its workforce from around 86,000 employees to between 72,000 and 77,000. 

This job cutting process has already begun in a number of key markets, with hundreds of job losses announced earlier this year in the company’s home market of Finland, as well as the US and other markets.  

 “Resetting the cost base is a necessary step to adjust to market uncertainty and to secure our long-term profitability and competitiveness,” said Nokia’s CEO, Pekka Lundmark in Q3 last year. 

Nokia’s sales in China have declined since Western countries began banning Huawei in 2019, leading to reduced contracts for both Nokia and rival Ericsson. Sales in China, which was once Nokia’s second-largest market, have dropped from 27% of the company’s net sales in 2019 to less than 6% in the latest quarter. 

Despite this, Nokia still has offices in Beijing, Shanghai, Hong Kong, and Taiwan, and serves major clients like China Mobile. 

On Thursday, Nokia reported a 9% rise in its Q3 operating profit, primarily due to cost-cutting measures. However, its net sales fell short of expectations, causing a 4% drop in share value.  

Lundmark has stated that the cost-cutting measures will not impact Nokia’s research and development, and the company is slightly ahead of its savings schedule.  

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Vodafone Idea’s long awaited 5G launch targeted for March 2025

News 

The move is part of a new strategic direction devised by the company’s new CEO, Kim Young-seop, who has been in the role since August 

South Korean telco Korea Telecom (KT) has announced a major restructuring programme as part of an increased focus on AI and cloud services.  

This strategic shift involves the establishment of two new subsidiaries and significant changes to the company’s workforce. 

According to the newspaper Business Korea, the company will create two new subsidiaries – “tentatively” named KT OSP and KT P&M – and implement a large-scale voluntary retirement scheme for employees with over 10 years of service or those nearing retirement. 

A board meeting was held this week to decide on the final details of the subsidiaries, which are set to be properly established in January next year.  

KT OSP will reportedly focus on field operations and network management, with an initial capital investment of 71 billion won ($52.7 million), while KT P&M will focus on customer service, with a smaller capital base of 10 billion won ($7.4 million). Nearly 3,800 employees will be transferred to these new businesses, which are set to begin operations on January 1, 2025.The reallocation of affected employees is expected to begin as early as this month. 

Alongside this restructuring, KT says that its voluntary retirement scheme will begin from next month. Exactly how many jobs are expected to be cut was not specified, but the total number of employees affected by the reallocation and voluntary retirement could reach “up to 5,700”, suggesting that around 2,000 jobs could be eliminated.
As part of its broader strategy, KT is investing heavily in AI and cloud sectors. The company has partnered with Microsoft to co-develop AI models and data center infrastructures, with a joint investment of 2.4 trillion won over the next five years. This move aligns KT with industry trends, as other telecom companies like SK Telecom are also investing in AI and offering early retirement programs. 

In related news, this week KT and Samsung have been chosen by the Korean Navy to deploy a private 5G network as part of its ‘Smart Naval Port’ project. The project, which is the first of its kind at a Korean naval base, began this summer with the goal to complete deployment by the end of next year.  

“The companies will build a more intelligent and fully independent network infrastructure to provide seamless coverage and enhanced connectivity for the Republic of Korea Navy 2nd Fleet,” the press release stated. 

The new ICT network will have use cases including intelligent security monitoring and battleship operation management.   

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Also in the news:
Singtel becomes latest telco to launch AI cloud services
South Korean telcos accused of collusion, may face fines of $4bn
Hexatronic: Innovation will be needed to reach rural customers 

News 

The deal is set to drive cloud innovation across the Middle East 

UAE based operator e& has announced a $1 billion strategic partnership with Amazon Web Services (AWS) to drive cloud innovation across the Middle East. The collaboration follows AWS’s launch of its second Middle East cloud region in 2022, which was backed by a $5 billion investment.

The partnership combines AWS’s sovereign cloud infrastructure with e&’s network, catering to the public sector and regulated industries such as healthcare, finance, and oil and gas. The goal is to deliver cloud solutions that align with regional regulations, addressing the demand for secure and scalable infrastructure. There is an increased demand for cloud infrastructure services in the region, an issue that this partnership will directly address. 

The agreement between the two companies will see them accelerate digital transformation in the region, providing services like AI, cybersecurity, and networking. This will benefit both large enterprises and small businesses, with access to AWS’s services and marketplace helping companies modernise their operations. 

To do this, e& will use AWS’s technology to enhance its platforms, such as the streaming service Starzplay Arabia and the multi-service app Careem. e& also plans to expand its AI capabilities and smart home services, offering more customer-focused innovations. 

“This initiative aligns with the UAE’s Vision 2031, aimed at positioning the nation as a global economic hub while driving digital transformation across key sectors,” said Tanuja Randery, Vice President of EMEA at AWS in the press release. 

“Our investment in developing the skills of UAE nationals will have a positive impact on the region’s economic growth and technological leadership,” he continued. 

“Our partnership with AWS is a game-changer for our customers. By combining AWS’s advanced cloud capabilities with e&’s local expertise, we will empower businesses across the region with the tools and infrastructure to accelerate their digital transformation and become more agile to scale as they innovate faster,” echoed Salvador Anglada, CEO of e& enterprise. 

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Also in the news:
Singtel becomes latest telco to launch AI cloud services
South Korean telcos accused of collusion, may face fines of $4bn
Hexatronic: Innovation will be needed to reach rural customers 

News 

The huge growth of AI, particularly generative AI, has skyrocketed tech company’s energy usage

Google has signed the world’s first nuclear energy agreement with Kairos Power to supply nuclear power to meet its electricity demand for AI. 

The financial details of the deal were not disclosed, not where the plants are to be built. The first reactor is expected to go online by 2030, with more to follow by 2035. The deal aims to support the growing electricity demands of AI technologies, which are driving scientific and business advancements. Nuclear energy provides reliable, 24/7 power and helps cut carbon emissions, aligning with Google’s energy goals. 

Kairos Power’s reactors use a safe, molten-salt cooling system and ceramic fuel to generate power more efficiently. Their design allows for faster construction and easier deployment. The company has already started building its first demonstration reactor in Tennessee. 

This nuclear deal is part of Google’s broader strategy to expand clean energy options, adding to their previous investments in solar, wind, and geothermal power. Google aims to power all of its operations—data centers, offices, and more—with carbon-free energy every hour of every day by 2030. 

“Nuclear solutions offer a clean, round-the-clock power source that can help us reliably meet electricity demands with carbon-free energy every hour of every day,” said Michael Terrell Senior Director of Energy and Climate in a company blog post. 

“The grid needs new electricity sources to support AI technologies that are powering major scientific advances, improving services for businesses and customers, and driving national competitiveness and economic growth,” he continued. 

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Also in the news:
Singtel becomes latest telco to launch AI cloud services
South Korean telcos accused of collusion, may face fines of $4bn
Hexatronic: Innovation will be needed to reach rural customers

Interview

At Connected Britain this year, we sat down with Rob Gilbert, VP of UK and Ireland  at HFCL to discuss his thoughts on market consolidation from a manufacturer’s perspective, the next big breakthroughs in fibre technology, and sustainability within the fibre supply chain.

Watch the full interview below:

News

The service claims to make AI adoption easier and more affordable for businesses 

Singaporean telco Singtel has launched RE:AI, a new cloud-based service designed to make artificial intelligence (AI) easier for businesses and public sector organisations to access and use.  

Launched yesterday, the service provides affordable AI solutions without the need for companies to invest in expensive infrastructure or specialist skills. 

The AI cloud solution offers customers access to high-performance computing, data storage, and AI tools, all managed through Singtel’s Paragon platform. This, combined with Singtel’s network infrastructure, including 5G and quantum safe networks, allows enterprises to manage and scale AI applications across their organisation.  

“With the launch of RE:AI, we’re significantly reducing entry barriers, making AI easily accessible to enterprises, government agencies, research communities and academia – the more people have access to AI, the more innovation is bound to emerge, which in turn fuels growth,” said Singtel’s CEO Bill Chang in a press release. 

“RE:AI will foster a dynamic ecosystem of partners with distinctive capabilities and platforms to accelerate AI adoption to drive innovation and growth in Singapore and the region, sustainably,” he continued. 

The launch fits with Singtel’s broader plans for digital transformation. Back in August, the company announced a strategic partnership to bring its GPU-as-a-Service (GPUaaS) offerings to business across Southeast Asia. Regional telcos AIS, Maxid and Telkomsel are the first to take up the offering.   

Singtel is also expanding its AI infrastructure through global partnerships, and is developing new AI-ready data centres via its Nxera arm. In June this year, Singtel became a founding member of the Global Telco AI Alliance, along with Deutsche Telekom, SK Telecom, e&, and SoftBank. The joint venture will develop multi lingual Large Language Models (LLMs), specifically designed to meet telco needs, in areas such as improving customer interactions via digital assistants and chatbots. The LLMs will be tailored to the needs of the five companies in their respective markets, allowing them to reach a combined customer base of around 1.3 billion people in 50 countries. 

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Also in the news:
“We’re the best kept secret in data centre and cloud,” says Nokia at Connected Britain
Submarine cable damage in the Red Sea ‘severely underestimated’
Vodafone and Google deepen relationship with 10-year AI partnership

Contributed Article

[Paris, France, October 9, 2024] During Network X 2024 — Broadband World Forum (BBWF), Huawei teamed up with carriers and Informa to hold the All-Optical Access Innovation Summit, bringing together heavyweight analysts, carrier customers, and Huawei experts. They discussed a range of frontier topics such as the launch of 50G PON for 10Gbps, 10G PON true gigabit experience, FTTR scale-up, Wi-Fi 7 2+2 industry generation guidance, network construction with optimal TCO, and premium broadband experience management. Through discussions, they outlined the development trend of the global 10Gbps industry.

Feng Zhishan, President of Huawei Optical Access Network Product Line, delivered a keynote speech titled ” F5.5G Booming, Moving Towards an Intelligent World”. He pointed out that the rapid emergence of AI applications drives the optical broadband industry to evolve to gigabit/10Giga intelligent access networks, and that now is the time to develop F5.5G all-optical intelligent access networks. Huawei launched three innovations: the industry’s first 16-port 50G PON service board, 50G PON FTTR and distributed AI computing engine, and the industry’s first intelligent home broadband model — Agent. By doing so, Huawei expects to build an all-optical intelligent access network that features deterministic experience, gigabit/10Gbps access, and computing-network integration. This can help accelerate the popularization of gigabit and the commercial use of 50G PON for  10Gbps, promote the innovation of intelligent applications, and help carriers seize new opportunities in the 10Gbps all-optical network era. All of this further propels us towards an intelligent world.

Stephen Wilson, Chief Analyst at Omdia, said the emergence of new AI applications, fierce market competition, and opportunities for ARPU growth are compelling carriers to upgrade to 10G PON, which is now a mainstream technology that has been launched by many carriers across the world. Wi-Fi 7 is gaining popularity among consumers, and shipments of Wi-Fi 7 CPEs among broadband carriers are expected to surge. Dual-band Wi-Fi 7 CPEs with 2×2 MIMO are an ideal choice for many carriers considering spectrum resources, power consumption, and user experience.

Peter Weiget, Lead Architect of Network Connectivity at Swisscom, said, “Swisscom is dedicated to providing a faster and more intelligent all-optical access network. Based on the FANO target network architecture, Swisscom uses 50G PON to provide the best access services and provide customers with network rates of up to 50Gbps. It also supports XGS-PON and 50G-PON Combo mode, achieving smooth service upgrade.”

Hudson KC Lou, SVP of Network Services and Development at CTM Macau, China, stated that CTM is committed to providing ultimate network experience for local residents with three innovations: FTTR services that feature full-home gigabit Wi-Fi coverage, differentiated intelligent acceleration services for eSports, and “Wi-Fi Manager for intelligent O&M”. To embrace the upcoming F5.5G 10Gbps era, CTM focuses on deploying mobile smart home and cloud storage services at the application level, and uses Wi-Fi 7 FTTR technology on home networks and 50G PON on access networks, driving the development of “Digital Macau 3.0”.

In a speech titled “One fiber to One Home, iFTTR Lights up Smart Life”, David Yi, General Manager of Huawei’s Home Network Domain, noted that, in the digital era, more smart home devices need to be deeply integrated with networks, and a unified smart home base is critical to high-quality smart home services. Huawei iFTTR OptiXstar F50 is the industry’s first FTTR+X product. It helps build a unified smart home base and provides storage, sensing, computing, and control capabilities. In this way, it can enable many smart home application scenarios, such as home guard, home healthcare, HD live broadcast, cloud gaming, and remote education. All of this brings users better smart life experience, propelling us towards a smart home era.

Balla Peter, Fixed Access Network Product Owner of DTAG, shared valuable experience in the successful development of 10G PON. He also pointed out that amid the rapid growth of live streaming, IoT, and remote work, the demand for bandwidth has skyrocketed, prompting us to pursue true gigabit experience. The company’s fiber strategy plays a fundamental role in the development towards 10G PON. In this case, the company focuses not just on network speed but also on creating a scalable and reliable network to meet future requirements.

Allen Zheng, Chief System Engineer of Huawei Optical Access Network, said that new digital and intelligent services drive continuous broadband evolution. Access networks should fulfill the following requirements: 0 video freezing, 0-wait experience, and 0-delay intelligence. Huawei intelligent OLTs can provide three key capabilities for the best service experience and new broadband growth:

1. Ultra-broadband: from leading 10G PON to the industry’s first commercial 50G PON solution;
2. The industry’s first dual-plane forwarding and hardware slicing: from best-effort experience to deterministic experience;
3. FAN intelligent engine: The industry’s first native intelligence enables quality on demand for carriers.

Cisternas Gonzalez Nicolas, Entel 2H Product Director, delivered a speech titled “Premium Broadband Operation Brings Ultra-Gigabit Experience to Every Chile Home”. In the speech, he introduced how Entel provides the best home connectivity experience in Chile and discussed its strategy in maintaining leadership. The company expects to expand home services to Peru and continuously improving user experience. He emphasized Entel’s focus on innovation and its position as a pioneer in the region thanks to technologies such as 10G PON and Wi-Fi 7 optical terminals.

Xu Fan, Chief Architect of Huawei’s Access Network Domain, said that as AI keeps growing, different applications have different requirements on bandwidth and latency. Huawei has introduced FIE intelligence technology to its latest access network solution. The wireless optical network (AI-WON) architecture, where APP-Flow at the intelligent service layer and OLTs at the intelligent network layer coordinate with the FTTR solution, provides ms-level adaptive closed loops and on-demand deterministic experience, helping carriers provide SLA payment methods based on bandwidth and latency. All this promotes experience monetization.

As a leader in the global optical network field, Huawei is committed to working closely with industry partners to explore and innovate in three dimensions: bandwidth expansion, user experience optimization, and intelligent upgrade. In this way, Huawei aims to promote the evolution of F5.5G technologies, propelling us towards an intelligent world.

News

SK Telecom (SKT), KT, and LG Uplus allegedly coordinated to keep their sales incentives at the same level

This week, South Korea’s Fair Trade Commission (FTC) has announced a preliminary decision to impose fines of up to $4.1 billion on the nation’s three telco giants.

SK Telecom, KT, and LG Uplus are accused of sharing internal information with each other between 2015 and 2022, allegedly to align their sales incentives paid to mobile phone retailers.

According to local media, if the FTC’s decision is finalised, the regulator intends to charge SKT between $1.05 billion and $1.63 billion, KT between $750.7 million and $1.3 billion, and LG Uplus between $732.2 million and $1.2 billion.

If imposed, these fines could be catastrophic for the operators, with even the lower bounds of these fines being far greater than their respective net incomes.

It is worth noting, however, that what the FTC here may consider to be collusion could, in fact, be efforts to follow government guidance.

In 2014, the Korea Communications Commission (KCC) introduced guidance as part of the Mobile Device Distribution Improvement Act that told operators to provide sales incentives of around 300,000 won ($222).

This Act was intended to promote competition in the mobile market by preventing major handset discounts and thereby maintaining a level of pricing stability. A decade on, however, and the Mobile Device Distribution Improvement Act is largely seen as a failure, having inadvertently served to maintain high prices for customers.

As a result, the South Korean government announced plans to abolish the Act at the start of this year.

But regardless of the Act’s ultimately failure, the KCC points out that the telcos were nonetheless following government guidance in their incentive strategies during the period in question.

“The KCC has delivered its opinions to the FTC multiple times, highlighting that it is difficult to view the case as collusion,” said KCC Secretary General Cho Sung-eun at a National Assembly audit on Monday.

He added that the KCC’s own investigation had not found evidence of collusion.

“The FTC and KCC have been collaborating since the investigation of the allegation began and will continue to closely communicate with each other through the upcoming processes,” said the FTC in a statement.

The FTC’s final decision on the matter is expected to be delivered early next year.

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter    

Also in the news:
“We’re the best kept secret in data centre and cloud,” says Nokia at Connected Britain
Submarine cable damage in the Red Sea ‘severely underestimated’
Vodafone and Google deepen relationship with 10-year AI partnership 

News

The new 5G standalone network is the first of its kind in the country, and covers key urban centres

Today, Nokia have announced the launch of the first 5G standalone (SA) network in Costa Rica in partnership with Radiografica Costarricense (RACSA).

RACSA, the mobile unit of Costa Rica’s state-owned utilities/telecoms group ICE, says they have already rolled out the new technology in of 30 sites in major cities, including San Jose, Cartago, and Limon, with 170 additional sites due later this year.

In total, 500 sites are planned for deployment in both urban and rural areas as part of the project.

“The utilization of Nokia technology represents a pivotal step in Costa Rica’s digital transformation which RACSA has been playing a key role in for the last 103 years. By deploying the first 5G network in the country, we are not only improving connectivity for businesses and government entities but also enhancing the quality of life for our citizens,” said Mauricio Barrantes, General Manager of RACSA. “The high-speed, reliable network will support innovative applications that contribute to the country’s overall economic and social development.”

Costa Rica journey towards rolling out 5G has been a bumpy one. Plans for initial 5G spectrum auctions have been repeatedly delayed by clashes between the telcos and state regulatory authority Sutel. The issues raised have been myriad, with operators complaining about everything from spectrum pricing to infrastructure sharing obligations and competition concerns.

The country’s latest attempt at the tender process was officially initiated at the start of August this year but was cancelled later the same month due to renewed complaints from the telcos.

Without this spectrum auction, 5G activity in Costa Rica has been very limited, with most of the operators only able to offer small-scale private trials.

RACSA, however, is something of an outlier among the Costa Rican telcos, owning 100MHz of 3.5GHz spectrum, which is ideal for 5G services. As a result, RACSA was able to launch 5G fixed wireless access (FWA) services back in April this year.

It is also presumably this spectrum that is being used to support RACSA’s new 5G standalone network with Nokia.

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter   

Also in the news:
“We’re the best kept secret in data centre and cloud,” says Nokia at Connected Britain Submarine cable damage in the Red Sea ‘severely underestimated’
Vodafone and Google deepen relationship with 10-year AI partnership 

News 

Half of businesses (50%) have reported having experienced some form of cyber security breach or attack in the last 12 months, according to a recent government survey 

Vodafone has launched a new cybersecurity platform called Vodafone CybSafe, designed to help small, medium, and enterprise businesses reduce the risk of the cyberattacks that stem from human error.  

Developed in collaboration with human risk management experts at CybSafe, the platform aims to enhance the cybersecurity awareness and promote secure behavior within companies. 

Vodafone CybSafe combines AI, data analysis, and behavioral science to evaluate and enhance employees’ cybersecurity practices. It uses SebDB, reportedly the world’s largest cybersecurity behaviour database, to provide evidence-based personalised ’nudges’ to employees, helping them to avoid cybersecurity errors and adhere to best practices.  

The platform also includes training modules designed to empower employees to identify and manage potential cyber threats, such as phishing and ransomware attacks.  

According to Vodafone, 43% of cyberattacks target these SMEs, with 60% of those incidents leading to business closures within six months. 

“In these businesses, people juggle multiple roles and responsibilities and, as a result, cybersecurity can become an afterthought. Yet, these are the organisations most at risk if a cyber incident occurs and the ones most likely to face serious challenges as a result,” said Oz Alashe MBE, CEO and Founder of CybSafe in a press release. 

“We often talk about the human factor in cyberattacks, but we can’t expect people to defend against these threats without proper guidance. CybSafe’s partnership with Vodafone will provide this support, and we are confident it will have a significant impact on the cyber resilience of small and medium-sized businesses,” he continued. 

Vodafone CybSafe is available for purchase through the Vodafone Business Marketplace. 

Keep up to date with the latest international telecoms news by subscribing to the Total Telecom daily newsletter   

Also in the news:
“We’re the best kept secret in data centre and cloud,” says Nokia at Connected Britain Submarine cable damage in the Red Sea ‘severely underestimated’
Vodafone and Google deepen relationship with 10-year AI partnership