Exit of Nokia and Ericsson will regress mobile communications in Russia to late 1990s state – Reuters

Ericsson’s chief financial officer, Carl Mellander, told the publication that the measures to circumvent the sanctions will end at the end of the year. Nokia CEO Pekka Lundmark also said that the company will completely exit the Russian market and stop all deliveries.

In December, Nokia received permission from European and US regulators to export equipment to Russia. The company then explained that the official presence of the brand in Russia will be maintained until the legal closure is complete.

Almost half of all mobile base stations in Russia are operated by Nokia and Ericsson. According to Reuters sources, ordinary users will also notice its departure, they will face slowdowns in the mobile Internet, as well as dropped calls during telephone conversations.

In the spring, the operators managed to stock up on components, fearing the imposition of sanctions, interlocutors of the agency note. State support for Russian equipment suppliers has contributed to the redistribution of market shares, notes Reuters. If in 2021 national producers represented 11.6%, this year the participation was 25.2%.

Russian operator Tele2 has gone to court twice since the beginning of the year over the companies’ decisions. In May, a lawsuit was filed against a Nokia subsidiary. Already in November, the operator went to court in connection with Ericsson’s refusal to fulfill obligations under contracts concluded before the imposition of sanctions.