Nokia Wi-Fi 7 Solutions to Boost Home Broadband Connectivity

Nokia Corporation NOK has expanded its Wi-Fi 7 device portfolio with the introduction of two new gateways to cater to the growth of high-capacity broadband services across operator networks. With the launch of an entry-level and a mid-tier Beacon, the company aims to deliver ultra-fast network connectivity across the home, making it an ideal solution for streaming, online gaming, video, smart home and security applications.

How Operators Can Benefit From NOK’s Launch

Based on the indigenous Corteca software that forms the core of all its broadband device products, Nokia’s new Beacon 4 and 9 devices boast an end-to-end lifecycle management of applications via the cloud for simple installing, uninstalling and software updates. Embedding applications independently of the operating system, the solutions maximize end-user experience and provide additional revenue opportunities for communications service providers (CSPs) by creating and monetizing better broadband experiences.

The dual-band Beacon 4 gateway delivers 3.6 Gbps speed over Wi-Fi, while the tri-band Beacon 9 gateway delivers blazingly fast 9.4 Gbps speed to reduce slowdowns and buffering. Leveraging Corteca, the CSPs can further mitigate potential Wi-Fi issues through automated Wi-Fi optimization capabilities that work in broadband devices and the cloud.

NOK’s Value Creation Journey, Strategic Focus

Nokia has made significant progress in its three-phased journey of value creation: Reset, Accelerate and Scale. Its focus on capital allocation and technology leadership is expected to help it grow profitably. Nokia is on track to achieve sustainable, profitable growth and technology leadership by accelerating its product roadmap and cost competitiveness through additional 5G investments.  

Nokia is well-positioned for the ongoing technology cycle, given the strength of its end-to-end portfolio. The company is driving the transition of global enterprises into smart virtual networks by creating a single network for all services, converging mobile and fixed broadband, IP routing and optical networks with the software and services to manage them. Leveraging state-of-the-art technology, Nokia is transforming the way people and things communicate and connect. These include a seamless transition to 5G technology, ultra-broadband access, IP and Software Defined Networking, cloud applications and the Internet of Things.

Will NOK Stock Benefit?

Nokia has emerged as one of the leading players in the development of advanced 5G technology and is at the forefront of extending 5G use cases in various industries. It has laid a strong foundation of innovation through substantial infrastructure investments. This has led to the establishment of an impressive portfolio comprising approximately 20,000 patent families, including more than 7,000 patent families that are deemed crucial for 5G technology.

The product launch is likely to propel the stock on incremental revenue generation on the back of state-of-the-art product innovations. It is also expected to strengthen Nokia’s position as a leading telecommunications equipment provider across the globe.  

The stock has gained 40% over the past year compared with the industry’s growth of 38.9%.

NOK Zacks Rank & Stocks to Consider

Nokia currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

InterDigital, Inc. IDCC carries a Zacks Rank # 2 (Buy) at present. It has a long-term growth expectation of 15%. InterDigital is a pioneer in advanced mobile technologies, enabling wireless communications and capabilities. The company designs and develops a whole range of advanced technology solutions for use in digital cellular as well as wireless 3G, 4G, and IEEE 802-related products and networks. InterDigital delivered a trailing four-quarter earnings surprise of 160.2%, on average.

Juniper Networks Inc. JNPR, currently carrying a Zacks Rank #2, is a leading provider of networking solutions and communication devices. The company develops, designs and sells products that help to build network infrastructure used for services and applications based on single Internet protocol network worldwide. Juniper offers a broad range of routing, switching and security products. Juniper has a long-term earnings growth expectation of 12.4%. 

Ubiquiti Inc. UI carries a Zacks Rank #2 at present. The company offers a comprehensive portfolio of networking products and solutions for service providers and enterprises. Ubiquiti’s excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company’s effective management of its strong global network of more than 100 distributors and master resellers improved its visibility for future demand and inventory management techniques.

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