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Nokia expands manufacture of fiber broadband equipment in India

Nokia is currently a participant in the government's PLI scheme, and is extending its production capacity into Chennai in response to growing demand.  (REUTERS)Premium
Nokia is currently a participant in the government's PLI scheme, and is extending its production capacity into Chennai in response to growing demand. (REUTERS)

  • Manufacturing of optical line terminals in passive optical network at its factory comes amid shifts in consumer behavior, such as work from home and data rich entertainment services, besides strong institutional support with significant funding from govts and PE funds that were driving demand for broadband

NEW DELHI : Finnish telecoms gear maker Nokia is expanding manufacturing of its optical line terminals at its factory in Sriperumbudur, Andhra Pradesh in response to increasing demand from local customers in India, as well as to cater to international markets.  

Manufacturing of optical line terminals in passive optical network at its factory comes amid shifts in consumer behavior, such as work from home and data rich entertainment services, besides strong institutional support with significant funding from governments and private equity funds that were driving demand for broadband and hence investments in broadband and fiber connectivity.  

Sanjay Malik, SVP and Head of India Market at Nokia, “India is seeing massive demand for fiber connectivity from both fixed and mobile operators. OLT production at our Chennai plant will offer a timely boost to meeting this demand in a timely way. Service providers in India will benefit from the increased availability of both existing Lightspan product lines as well as upcoming GPON access nodes which offer smaller lower-density OLTs to suit a range of conditions and requirements." 

The European gear maker that has seen demand for 5G gear also rising from India, said that demand for fiber is also shifting to new regions with the Asia-Pacific region seeing strong demand in markets like Japan, India and Southeast Asia, with much of the demand seen in fiber to the home (FTTH) and from mobile network operators (MNOs) as they deploy 5G and need next generation fiber in their transport networks to carry the expected surge in data traffic. 

Sandy Motley, President Fixed Networks at Nokia, said: “As the momentum towards 5G networks and new hybrid usage models push operators towards increasingly distributed network architectures, service providers are investing in fiber to build out and upgrade their existing networks. We are happy to add the manufacturing capacity in India to better address increasing demand in the region and worldwide." 

Nokia is currently a participant in the government's production linked incentive (PLI) scheme, and is extending its production capacity into Chennai in response to growing demand. 

ABOUT THE AUTHOR
Gulveen Aulakh
Gulveen Aulakh is Senior Assistant Editor at Mint, serving dual roles covering the disinvestment landscape out of New Delhi, and the telecom & IT sectors as part of the corporate bureau. She had been tracking several government ministries for the last ten years in her previous stint at The Economic Times. An IIM Calcutta alumnus, Gulveen is fluent in French, a keen learner of new languages and avid foodie.
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