• Nokia has deepened regional collaborations with major carriers and infrastructure players across the Middle East, securing network modernisation and optical connectivity projects.
• While these agreements aim to accelerate digital transformation and 5G-era services, analysts note that competition and execution risks could temper expected benefits.
What happened: expanded partnerships across region
Nokia has significantly expanded its footprint in the Middle East through a series of network partnerships and infrastructure projects with leading regional players. One of the key developments saw Vodafone Qatar select Nokia to modernise its national infrastructure with cloud-native core solutions and network automation tools intended to support 5G slicing and enhanced services for both enterprise and consumer markets.
Under that agreement, Nokia will deploy its multi-cloud core software, including Packet Core and Converged Charging systems, as well as analytics and orchestration platforms, in a managed services arrangement aimed at accelerating service delivery and improving network agility. Vodafone Qatar’s CEO Sheikh Hamad Abdulla Jassim Al-Thani said the collaboration would enable greater responsiveness to evolving digital needs, while Raghav Sahgal, president of cloud and network services at Nokia, emphasised the depth of the company’s portfolio.
In addition, Nokia and Aramco achieved a regional breakthrough by demonstrating a 2.4 Tbps optical transmission on Aramco’s existing fibre network in Saudi Arabia, marking the Middle East’s first implementation of such high-capacity transport for data-intensive applications such as cloud interconnectivity and AI workloads. The trial used Nokia’s advanced Photonic Service Engine PSE-6s technology, underscoring the potential of high-speed optical networks to support future demand.
Other collaborative efforts include 5G Cloud RAN deployments with du in the UAE using Nokia’s anyRAN architecture and 5G standalone solutions, which aim to deliver flexible, scalable wireless infrastructure for enterprise use cases such as IoT, automation and digital services.
Taken together, these initiatives span radio access network evolution, transport slicing, optical backbone upgrades and core network modernisation. Each targets different segments of the digital infrastructure stack that telecom operators and enterprises are seeking to enhance in response to rising data consumption and competitive pressures.
Also Read: Nokia and Alcatel-Lucent Enterprise roll out hybrid network blueprints for industry sectors
Also Read: Nokia and Tampnet team up to enhance 5G offshore connectivity in the Gulf of Mexico
Why it’s important
Nokia’s expanded partnerships in the Middle East reflect a broader industry shift toward more advanced network capabilities as carriers seek to meet the growing demand for 5G services, private networks, cloud integration and AI-ready transport systems. Investments in cloud-native cores, network slicing and high-capacity optical transport illustrate the priorities of regional operators as they balance digital transformation goals with revenue growth targets.
However, these agreements also highlight several challenges and uncertainties. Middle Eastern mobile markets remain intensely competitive, with multiple global vendors vying for business and operators under pressure to manage capital and operational expenditures prudently. Modernisation programmes often require substantial upfront investment and extended execution timelines, making it difficult to predict when they will translate into tangible financial returns or improved service outcomes for end users.
Moreover, the technical complexity of projects — such as deploying cloud-native network functions, integrating automation across core and transport layers, and sustaining ultra-high-capacity optical links — raises questions about interoperability, skills availability and long-term operational resilience. Regional carriers will need to manage integration risks while ensuring that upgraded infrastructure delivers measurable performance improvements.
Observers also note that reliance on vendor-provided automation and analytics could create dependencies that affect bargaining leverage and future technology choices. As operators expand partnerships with companies like Nokia, they must balance near-term infrastructure needs with strategic flexibility and diversification of suppliers.
Finally, while trials such as the 2.4 Tbps optical transmission with Aramco demonstrate technical benchmark potential, real-world traffic patterns, commercial viability and ecosystem support remain key factors in assessing how much these technologies will influence service quality and cost structures across the Middle East.
