LM Ericsson (ERIC) and Nex-Tech Wireless have agreed to a four-year modernization program to upgrade about 85% of the carrier's radio access network infrastructure in rural Kansas, the companies said Monday.

Financial terms of the agreement were not disclosed.

The project involves installing a cloud-native 5G standalone core alongside hosting capabilities for third-party mobile carriers, the company said.

The update relies on the specialized radio RAN Processor 6655 and software to increase coverage and expand data capacity, and also incorporates a data management platform to handle billing operations in the core system, Ericsson said.

Ericsson shares were down more than 2% in Monday trading.

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