JV Yadro and Nokia

2021: Nokia localizes telecom equipment production in Russia

On November 23, 2021, Yadro and Nokia signed an agreement on the localization of the production of telecommunications equipment in Russia. The agreement involves the creation of a joint venture in which the shares of Yadro and Nokia will amount to 51% and 49%, respectively.

The agreements reached allow us to begin the main phase of our interaction, the purpose of which is to create a joint venture, a Yadro representative told Kommersant.

Nokia localizes telecom equipment production in Russia

Nokia, in turn, emphasized that the cooperation is aimed at joint work "on the regulatory framework in the field of localization."

The companies will launch production at the Yadro plant, which is being built in Dubna near Moscow by the end of November 2021 - the main structures of the enterprise will begin to be built in December. Taking into account the fact that, according to the Ministry of Industry and Trade, the Russian market for telecommunications equipment is estimated at 400 million rubles, the potential for the development and localization of specialized production is estimated as serious. At the same time, a joint venture with Nokia, as Andrei Zarenin, deputy head of the Ministry of Finance, said, "will strengthen the export potential of Russian developments."

Earlier, the Kommersant newspaper wrote that telecom operators from Russia are unhappy with the testing of prototypes of domestic LTE base stations. They believe that the prototypes have not shown proper functionality, are lagging behind in terms of technical parameters and will not be able to be analogues of the systems that are now deployed in operator networks. This was reported by operators after laboratory tests of Russian samples of base stations at their sites.

This position was made by MegaFon, MTS, VimpelCom, Rostelecom and Tele2. They asked the Ministry of Digital Affairs to create a working group that will have to work with them on projects for the creation and implementation of Russian base stations.^[1]

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