Aiming to help China Mobile realize its transform to a flexible cloud network infrastructure by providing seamless networking functions, Nokia has signed a hefty deal with the Chinese telecommunications provider.

The term of the agreement is one year with a value of EUR1.36 billion, which is about USD1.5 billion.

According to the agreement, Nokia will deploy the 5G-ready AirScale base station solution for China Mobile. This solution will enable the simultaneous running of multiple wireless technologies in a single base station while providing unlimited expandability to support 5G speed and meet increased Internet of Things demand.

Nokia will also provide China Mobile with fixed access, IP routing and optical transmission, customer experience management, operational support system, third party products, and global service support. The services will be jointly be provided by Nokia Networks China and ASB.

Mike Wang, president of the joint management team of Nokia Networks China and ASB, said that this is a highly significant agreement with their longstanding partner. It strengthens Nokia's position as a leading provider of next-generation technologies in China, and reflects their larger footprint in the country following the acquisition of Alcatel-Lucent. They are committed to delivering mobile broadband capabilities that will allow operators to optimize their networks and open up new opportunities for them and their subscribers in IoT and mobile services.