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T-Mobile to use Nokia’s gear to build its 5G network

As the race to roll out 5G wireless services to the market intensifies, T-Mobile (TMUS) said it is teaming up with Finnish handset maker Nokia to build its 5G network. According to the $3.5 billion multiyear deal, Nokia will supply  5G network gear to the US carrier.

While rival carriers are busy formulating marketing plans for their own 5G services, T-Mobile has just struck the world’s biggest ever 5G deal.  Using 5G, both T-Mobile and Nokia aim to launch the next generation of services that would benefit a broad range of industries.

“We are all in on 5G,” said Neville Ray, Chief Technology Officer at T-Mobile. “Every dollar we spend is a 5G dollar, and our agreement with Nokia underscores the kind of investment we’re making to bring customers a mobile, nationwide 5G network. And together with Sprint, we’ll be able to do So. Much. More.”

According to the $3.5 billion multiyear deal, Nokia will supply  5G network gear to the US carrier.

During this year’s Mobile World Congress (MWC) held in Barcelona, T-Mobile had announced that it would use equipment from Nokia and Ericsson to deploy mobile 5G in 30 US cities this year. The company has picked New York, Los Angeles, Dallas, and Las Vegas to get the first 5G services.

Related: A glance at the Sprint-T-Mobile merger and what comes with it

T-Mobile’s 5G gear would be deployed in low-band 600 MHz spectrum and in millimeter wave (mmWave) spectrum. Under the terms of the deal, Nokia will supply T-Mobile with a range of 5G hardware, software, and services.

T-Mobile had earlier merged with Sprint (S) to form a strong competitor to the largest US carriers AT&T (T) and Verizon (VZ). Earlier this month, Bloomberg had reported about Verizon’s ambitious plan to deliver online TV service using its in-home 5G service. And for this, the carrier either wants to team up with Google’s YouTube or Apple online TV.

Related: China is currently ahead of the US in the 5G race

According to a 2017 study by Accenture, both AT&T (T) and Verizon (VZ) would shell out close to $275 billion into deploying the fifth generation of wireless networks, and this is expected to boost the country’s GDP by $500 billion.

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