Nokia signed an agreement to sell its Enterprise Campus Edge (ECE) business to investment company Aurelius Group, a move the Finnish vendor stated sharpens its portfolio and directs capital to areas earmarked for long-term value.

Value of the planned transaction was undisclosed and Nokia expects the deal to close in the first half of 2027, subject to customary closing conditions.

Nokia this month also completed a deal to sell its fixed wireless access (FWA) CPE business to US broadband vendor Inseego.

Under Aurelius’ ownership, Nokia said ECE will continue to operate as a standalone business but benefit from greater independence and a dedicated strategic focus. Employees are expected to transfer with the business, in accordance with applicable local laws and processes.

ECE has a big presence in the private wireless market, serving almost 900 customers across industries including manufacturing, mining, logistics, airports, ports and power generation worldwide.

Its portfolio also includes industrial devices, on-premises operational technology, edge and micro-edge solutions and software applications to power industrial AI use cases.

Konstanty Owczarek, chief corporate development officer at Nokia, said the deal provides ECE a strong foundation for growth. “Our priority throughout the transition will be continued growth of the business and continuity for existing customers and employees,” he added.

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European operators could reportedly be granted more time to strip out network equipment from so-called high-risk suppliers, following a European Commission (EC) proposal of a three-year phase-out period.

Reuters reported a document showed governments in the bloc asked for amendments to the EC proposal, calling for the phase-out period to be determined by numerous factors rather than a set date.

These include assessing risk levels, how long equipment lasts, compatibility needs and “the availability of suitable alternatives”, Reuters wrote.

Reuters reported member states would need to discuss the planned changes with politicians before enacting the Cybersecurity Act, which covers the equipment overhaul requirement.

De-risking
The EC proposed revisions to the Cybersecurity Act in January to account for increased risks to the bloc’s ICT supply chain posed by third-party suppliers, arguing the move would remove dangers posed to regional mobile networks.

The move is expected to impact Chinese vendors Huawei and ZTE.

At the time, Huawei told Mobile World Live the move would violate basic EU legal principles and it would continue to provide “secure and trusted products and services”.

GSMA Intelligence estimated it would cost European operators €30 billion to €40 billion to replace the equipment involved.

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