Nokia is aggressively working on the research and development of the 5G technology. Now moving in this direction and to accelerate 5G tech R&D the company has agreed on a EUR 500 million loan transaction with the European Investment Bank (EIB).
The financing deal is 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 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.”
We signed EUR 500 million financing with @EIB to bolster our #5G research, supporting our relentless drive in 5G end-to-end leadership. https://t.co/96pThTNRhp #investEU @EU_Commission @EUkomissio @EIB @alexstubb pic.twitter.com/iMYJ5abklD
— Nokia (@nokia) August 27, 2018
The financing comes a month (July 2018) after Nokia signed a $3.5 billion agreement with T-Mobile for the deployment of the 5G network.
The company is also working in China for the development of 5G tech and recently Nokia partnered with China Mobile to establish AI 5G Lab.
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.”
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.”