Ericsson secures major contract with AT&T, Nokia loses out
- Communications services companies rise after AT&T deal with Ericsson
- LM Ericsson shares rally after AT&T agrees to buy up to $14 billion of its hardware and services
- Ericsson pledges to open up its software to competing systems
- Nokia shares fall sharply as it is passed over for the deal
Communications services companies experienced a surge in stock prices following a significant deal in the telecom equipment industry. LM Ericsson saw a notable increase in its shares after U.S. carrier AT&T announced its agreement to purchase up to $14 billion worth of Ericsson’s hardware and services. This deal came after Ericsson made a commitment to open up its software to competing systems. However, Nokia, Ericsson’s Finnish rival, suffered a sharp decline in its shares as it was not selected for the deal with AT&T.
Factuality Level: 8
Factuality Justification: The article provides specific information about a deal between AT&T and LM Ericsson, as well as the impact on the stock prices of Ericsson and Nokia. The information is straightforward and does not contain any obvious bias or opinion. However, the article is quite short and lacks in-depth analysis or additional context.
Noise Level: 7
Noise Justification: The article provides some relevant information about a big deal between LM Ericsson and AT&T, but it lacks depth and analysis. It does not explore the long-term trends or consequences of the deal, nor does it provide any evidence or data to support its claims. The article also does not offer any actionable insights or solutions. Overall, it contains mostly surface-level information and does not provide a thoughtful analysis of the topic.
Financial Relevance: Yes
Financial Markets Impacted: Communications services companies, specifically LM Ericsson and Nokia
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to financial topics as it discusses the impact of a big deal on telecom equipment on the shares of LM Ericsson and Nokia. However, there is no mention of any extreme event in the article.
Public Companies: LM Ericsson (ERIC), AT&T (T), Nokia (NOK)
Key People:
Reported publicly:
www.marketwatch.com 
