UPDATE Ericsson will replace existing RAN and core equipment used by Sagebrush Cellular with a 5G-capable RAN across 115 sites in Montana and North Dakota. The upgrade will include an Ericsson Radio System, Cloud Core, and IP Multimedia Subsystem.
Sagebrush Cellular initially opposed the U.S. government’s effort to ban use of Huawei equipment, saying the replacement would cost $57 million and take two years. In fact, Sagebrush said the cost of Ericsson equipment would be nearly four times the cost of Huawei’s network, according to Reuters.
Rip & Replace Funds In Action
Congress has allocated $1.9 billion to reimburse carriers, like Sagebrush Cellular, for removing untrusted gear from Huawei and ZTE from their networks, known as Rip & Replace, to fund all “reasonable and supported” cost estimates within the first prioritization group and cover administrative expenses, Inside Towers reported. The reimbursement program will require $4.7 billion, however, reflecting a current shortfall of $2.8 billion, FCC Chairwoman Jessica Rosenworcel has told Congress, Inside Towers reported.
Nemont Telephone Cooperative, owner of Sagebrush Cellular, is included in the list of 85 carriers prioritized by the FCC for funding to replace Huawei equipment and is set to receive an Approved Prorated Allocation of $43.8 million from the U.S. government.
Three More Ericsson Rural 5G Deployments
The Sagebrush Cellular upgrade is the latest rural 5G win for Ericsson, which announced several agreements in September with Bluesky, Appalachian Wireless and Pine Cellular to bring 5G connectivity to American Samoa, eastern Kentucky and southeastern Oklahoma, respectively. Pine Telephone Company, owner of Pine Cellular, is slated to receive Rip & Replace funds, along with AST Telecom, LLC d/b/a Bluesky.
Why it’s Important
Ericsson said it is committed to closing the rural digital divide. Sagebrush Cellular said it is the only source of voice and broadband services for many Montana residents, making its deployment a critical milestone for the communities it serves. Ericsson is slated to provide tower services and upgrade all existing RAN and core equipment.
“Our communities rely on us for mobility and broadband, and we’re always looking for ways to bring enhanced service offerings to our customers,” said Mike Kilgore, CEO at Sagebrush.
By J. Sharpe Smith, Inside Towers Technology Editor
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