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In focus: T-Mobile and Ericsson's $3.5bn 5G agreement

T-Mobile has announced a multiyear, $3.5bn agreement with Ericsson to support its 5G network deployment across the United States.

Ericsson is to supply T-Mobile with its leading hardware and software for 5G New Radio (NR), with T-Mobile leveraging Ericsson’s market-leading 5G portfolio to expand existing LTE capacity needs.

The contract also encompasses Ericsson’s digital services solutions, including dynamic orchestration, business support systems (BSS) and Ericsson Cloud Core, which will give T-Mobile the opportunity to launch innovative 5G experiences to its customers.

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"While the other guys just make promises, we’re putting our money where our mouth is," said Neville Ray, Chief Technology Officer, T-Mobile. "With this new Ericsson agreement we’re laying the groundwork for 5G – and with Sprint we can supercharge the 5G revolution."

Niklas Heuveldop, President and Head of Ericsson North America, added: "We have recently decided to increase our investments in the US to be closer to our leading customers and better support them with their accelerated 5G deployments; thereby bringing 5G to life for consumers and enterprises across the country.

"This agreement marks a major milestone for both companies. We are excited about our partnership with T-Mobile, supporting them to strengthen, expand and speed up the deployment of their nationwide 5G network."

Last month, Gigabit reported that Sprint and LG are on track to deliver the first 5G smartphone to the United States in 2019. 5G networks, according to Ericsson, 5G are expected to deliver very high data speeds, extreme low latency, ultra-high reliability, energy efficiency and extreme device densities.

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