AT&T’s $14 Billion Ericsson Deal Heralds Open Phone Networks

  • AT&T’s shift to Open RAN technology seen as a bellwether
  • Move could undermine Ericsson and Nokia market dominance

AT&T’s choice may encourage operators worldwide to move toward open networks.

Photographer: Simon Dawson/Bloomberg
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AT&T Inc.’s choice of Ericsson AB for a $14 billion revamp of its sprawling mobile network marks a coming of age for flexible wireless technology that promises to bring competition to infrastructure markets dominated by two companies.

The technology that Ericsson plans to use for the rebuild has already been adopted by mobile companies such as Rakuten Group Inc. and Dish Network Corp. Still, AT&T is the biggest telecommunications firm to commit to open radio access network infrastructure, or Open RAN.