Telecom equipment maker Nokia said it will exit the Russian market by stopping new business and moving limited R&D activities out of Russia.
“As we exit we will aim to provide the necessary support to maintain the networks and are applying for the relevant licenses to enable this support in compliance with current sanctions. This is the most responsible course of action for Nokia to take as we exit the Russian market,” Nokia said in a news statement.
Ericsson already informed that it will exit from Russia.
Nokia said Russia accounted for less than 2 percent of sales in 2021. Nokia did not reveal its plans on its existing employees in Russia. Ericsson said its employees will be on a paid leave.
“Considering the demand we see in other regions – we do not expect this decision to impact our ability to achieve our 2022 outlook provided in the Nokia financial report for Q4 and full year 2021 issued on 3 February 2022. We expect this decision to lead to a provision in Q1 of approximately €100 million which will impact our reported but not comparable financials,” Nokia said.
