In a recently revealed Q2 report, Nokia showed flat sales at €5.7 billion year over year, suggesting reduced capital expenditure by operators. Interestingly, while a 5% sales growth in Nokia’s Mobile Networks unit occurred, a troubling 6% decline at the Network Infrastructure division offset this boost. With stark contrasts across regions, North American sales notably dropped by 42% as 5G deployments slowed, while energetic 5G deployments in India couldn’t adequately balance the losses. Mirroring these figures, Ericsson too reported a 9% year over year decrease in Q2 revenue. A gloomy yet realistic outlook from Nokia’s CEO Pekka Lundmark, coupled with analyst firm Dell’Oro’s forecast on the shrinking RAN predictions, suggests telecommunications could be in for a turbulent few years.
