Despite a relatively profitable first quarter, Nokia has revealed the COVID-19 pandemic has caused some supply issues within the company and could stall future 5G rollouts in Europe.
“In Q1, we saw a top line impact from COVID-19 issues of approximately €200 million [$217 million], largely the result of supply issues associated with disruptions in China,” said Rajeev Suri, president and CEO of Nokia, in a first quarter interim report.
He added, “We did not see a decline in demand in the first quarter. As the COVID-19 situation develops, however, an increase in supply and delivery challenges in a number of countries is possible, and some customers may reassess their spending plans.”
The company also said 5G deal momentum will continue, with 70 commercial deals and 21 live networks. However, Suri disclosed in an interview with CNBC that there co
