Middle East small cell market kicks into life with Nokia-Zain dealMiddle East small cell market kicks into life with Nokia-Zain deal

Under the deal, the Finnish kit maker will supply its 4G and 5G smart nodes, IP Security Gateway, Femto Manager, as well as end-to-end delivery services.

The result – according to Nokia – is a slim, highly-optimised system with plug-and-play capabilities that can get it up and running quickly with customers, and enable it to seamlessly integrate into Zain KSA's macro network.

"This solution unlocks countless opportunities for enterprise customers thanks to the trusted performance of Nokia's technology," said Haitham Baba, head of enterprise mobile networks, Saudi, at Nokia. "Our Smart node solution is uniquely positioned to help Zain KSA improve B2B time to market, enhance customer experience and offload traffic from [the] macro RAN. This partnership marks a significant step in our ongoing collaboration with Zain KSA, as we continue to drive network excellence enabling B2B business growth."

Nokia claims this 4G/5G femtocell solution is not merely the first of its kind for Saudi Arabia, but also the Middle East and North Africa (MENA) as a whole.

That's not entirely surprising. According to the Small Cell Forum's most recent forecast, 2025 will see global deployments reach 6.6 million, with four regions – China, North America, South Asia, and Southeast Asia – each accounting for around 1 million, followed by Western Europe with around 750,000 (see chart below).

That doesn't leave much for MENA, but that simply means there's plenty of headroom. According to Allied Market Research, the region's 5G small cell networking market will grow from $13.42 million in 2020 to $412.54 million in 2030, representing a compound annual growth rate (CAGR) of 40.9%.

This deal between Nokia and Zain KSA is a sign that the market is picking up the pace.

"Zain KSA continues to lead with groundbreaking network solutions. Our collaboration with Nokia to introduce the region's first Smart Nodes solution builds on this legacy," said Sultan Abdullah AlHadlag, VP of marketing and business development at Zain KSA. "This enterprise-centric solution empowers our customers by elevating productivity and security while reducing costs. Aligned with our commitment to sustainable, future-proof technologies, this partnership supports the Kingdom's digital transformation under Saudi Vision 2030, cementing our role in building a robust and secure tech ecosystem."

Saudi Arabia has been a standout performer for Zain lately.

According to its most recent annual report, Zain KSA's revenue reached $2.6 billion in 2023, up 9% on 2022. B2B revenue increased by 19%.

In Q3 of last year, revenue grew a more modest 2% year-on-year to $689 million, while EBITDA also grew 2%, reaching $228 million. Zain didn't provide quarterly figures for its Saudi B2B ops, but said it "saw significant growth in revenue from the enterprise sector."

Under its recently-refreshed strategic plan – called 4WARD – group CEO Bader Al-Kharafi said he wants to fast-track his company's evolution from a predominantly mobile centric operator into a purpose driven technology entity.

That particular bit of word salad is open to a fair degree of interpretation. This Nokia partnership, however, is a much clearer signal of intent.