Nokia keeps Vodafone Australia's network management contract

Nokia Networks has secured a managed services contract with Vodafone Australia, following a tumultuous relationship with the telco during the peak of its network issues.

Nokia won the contract in 2010 as the first major contractor awarded under the joint venture of Vodafone and Hutchison, after being a network partner for Hutchison since 2004.

The new deal will see Nokia offer managed services and remote network management from the company's global delivery centre in India, and provide real-time management for the 2G, 3G, and 4G networks from its service management centre.

The new deal is rumoured to be worth hundreds of millions of dollars, but neither company has disclosed the value.

Vodafone's chief technology officer Benoit Hansen said the agreement was designed to provide best-in-class service for customers.

"Nokia Networks' service capabilities provide us with a strong platform to do this, while we continue to execute on our extensive growth plans," he said.

Nokia Networks' head of Australia and New Zealand, Ray Owen, said Nokia would help improve Vodafone's network quality and operational efficiency at reduced operational cost.

The two companies were in court in 2011 over allegations that Vodafone had withdrawn an AU$8 million performance bond that was supposed to be a bonus for good performance by Nokia. The withdrawal was alleged to have been in breach of Australian Consumer Law.

The two companies ultimately called a truce in late 2011.

It comes as Vodafone recorded its first growth in its customer base in almost four years during the last quarter of 2014.