Nokia Lands EUR500 Million EU Financing for 5G Research
August 27, 2018 | NokiaEstimated reading time: 3 minutes
Nokia today signed a EUR 500 million loan transaction with the European Investment Bank (EIB), supported by the European Fund for Strategic Investments (EFSI), a key element of the Investment Plan for Europe, also known as the Juncker Plan. Nokia will use the loan to further accelerate its research and development of 5G technology, the next-generation mobile telecommunication standard.
The EFSI-supported loan from the EIB supports a key European technology provider, Nokia, that invests heavily in research, development and innovation (RDI) in an area which can produce enabling technologies for innovation and growth in Europe.
5G technology is expected to enable faster speeds, massive connectivity, decade-long battery life for sensors and super-responsive and reliable networks for customers. This could power on-demand virtual reality (VR) and augmented reality (AR) experiences, driverless vehicles, medical monitoring, advanced industrial automation services, and other applications - all requiring ubiquitous, low-latency connectivity.
Nokia's end-to-end network proposition goes from the radio network to the internet protocol (IP) and optical networks for transmission, the packet core network, service platforms and all the software and services associated with the whole system. In essence, Nokia's portfolio covers all the needs of a telecom operator that wishes to provide fully converged fixed-mobile communications services critical for the era of 5G.
EIB Vice-President Alexander Stubb, responsible for lending in Northern Europe, said: "5G is happening fast, faster than most people even expected. It's anticipated that it will enable entirely new business cases, while dramatically enhancing existing wireless applications. I think bringing 5G to the market will definitely improve people's lives, as the motto for the EIB's 60th anniversary states."
Nokia CFO Kristian Pullola said: "We are pleased to land this financing commitment from the EIB, who shares our view of the revolutionary nature of 5G - and the realisation that this revolution is already underway. This financing bolsters our 5G research efforts and continues the broader momentum we have already seen this year in terms of customer wins and development firsts, supporting our relentless drive to be a true leader in 5G - end-to-end."
European Commission Vice-President Jyrki Katainen, responsible for jobs, growth, investment and competitiveness, said: "Ensuring that Europe embraces and benefits from new technologies requires sustained investment. That is where the Investment Plan for Europe can play a crucial role. I am delighted that, with today's agreement, the Plan is contributing to Nokia's research and development activities across multiple European countries to advance the development of 5G technology."
The loan, which extends Nokia's debt maturity profile, has an average maturity of approximately five years after disbursement, which can take place at any time during the next 18 months.
Background information:
The European Investment Bank (EIB) is the long-term lending institution of the European Union owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals. In 2017, the Bank made available in excess of EUR 1.3 billion in loans for Finnish projects.
Founded in 1865, Nokia creates the technology to connect the world. Powered by the research and innovation of Nokia Bell Labs, it serves communications service providers, governments, large enterprises and consumers, with the industry's most complete, end-to-end portfolio of products, services and licensing. Nokia adheres to the highest ethical business standards as it creates technology with social purpose, quality and integrity. Nokia is enabling the infrastructure for 5G and the Internet of Things to transform the human experience.
About The Investment Plan for Europe
The Investment Plan for Europe focuses on strengthening European investments to create jobs and growth. It does so by making smarter use of new and existing financial resources, removing obstacles to investment, and providing visibility and technical assistance to investment projects. The European Fund for Strategic Investments (EFSI) is the central pillar of the Juncker Plan. It provides a first loss guarantee, allowing the EIB to invest in more, often riskier, projects. So far, the projects and agreements approved for financing under the EFSI are expected to mobilise EUR 335 billion in investments and support around 700 000 SMEs across all 28 Member States.
Suggested Items
Terran Orbital’s GEOStare SV2 Captures 3 Years of Success in High-Resolution Imaging
05/17/2024 | BUSINESS WIRETerran Orbital Corporation, a global leader in satellite-based solutions primarily serving the aerospace and defense industries, celebrates the 3rd anniversary of its successful GEOStare SV2 mission. Launched on May 15, 2021, from NASA’s Kennedy Space Center in Florida, GEOStare SV2 has surpassed expectations, delivering exceptional results for commercial satellite imagery.
Indium Experts to Present on High-Temperature, Lead-Free Solder Paste and High Reliability Liquid Metal Alloys Poster at ECTC
05/16/2024 | Indium CorporationIndium Corporation Research Associate Kyle Aserian will deliver a presentation at the 74th Electronic Components and Technology Conference (ECTC) on May 31, in Denver, Colorado.
Siemens, Foxconn Team Up to Optimize Forward-thinking Manufacturing
05/16/2024 | FoxconnSiemens AG, a leading technology company, and Hon Hai Technology Group (Foxconn), the world’s largest electronics manufacturer, have signed a memorandum of understanding (MoU) to drive digital transformation and sustainability in smart manufacturing platforms.
TactoTek Licenses IMSE Technology to Polestar for Sustainable Electronics Design Innovation
05/15/2024 | TactoTekPolestar, the Swedish electric performance car brand, and Finnish smart surface pioneer TactoTek, have entered a collaboration to explore integration of Injection Molded Structural Electronics (IMSE) technology into Polestar’s vehicle programs.
SiPearl: Partnership with Samsung Electronics for built-in HBM in Rhea
05/14/2024 | BUSINESS WIRESiPearl, the company building the high-performance low-power European microprocessor for HPC and AI inference, has signed a partnership with Samsung Electronics Co. Ltd., a world leader in advanced memory technology, to equip its Rhea series with Samsung’s advanced memory solution ideal for HPC and AI applications.