HELSINKI: Nokia has rehired former executive Pekka Lundmark from energy group Fortum to lead the Finnish telecoms company's efforts to revive its faltering 5G business.
China's Huawei Technologies dominates the European market for telecommunications gear but the United States wants a global ban on Huawei from 5G networks on fears that its equipment could be used for spying, allegations the group has strongly rejected. Nokia's shares, which in October lost a third their value when the group admitted to some delays in its 5G development and issued a profit warning, were originally up 4per cent on the news, but had dropped back to nearly flat by 1140 GMT.
"This is clearly a choice of Mrs Baldauf due to their common history at both Nokia and Fortum," Nordea analysts said. Nokia halted dividend payouts after the October profit warning. While Huawei has suffered from US authorities' decision last May to blacklist the group, Nokia has struggled to capitalise on those restrictions.