In the past, telecom operators had two primary goals: deliver quality connectivity and be commercially successful while doing so. While it varies by region, they are increasingly being measured by a third target – sustainability. Evolving networks to include new technology can help meet all three of these targets, but the burden of maintaining ageing equipment is slowing progress.
As legacy equipment like 2G/3G and copper networks age, the financial, operational, and environmental cost of maintaining them continues to rise. This is creating a catch-22 where operators need to evolve their networks but are so strained by older technology that they struggle to allocate the resources needed to do so.
Our latest whitepaper investigates how telecom operators are managing this challenge, with a focus on the transition to newer technologies, the role of circular economy practices like resale and refurbishment, and the pressures legacy infrastructure places on growth.
While our core report focused on the UK, the USA and Canada, we found that Sweden told a very different story. So different that including it would have skewed the overall picture. That’s why we’re exploring Sweden’s network evolution separately in this blog.
Where is Sweden in its telecom network evolution?
Sweden stands out as a market that’s well ahead in modernising its telecom infrastructure. While many operators across the UK and North America are still grappling with ageing tech, Sweden’s networks are, by comparison, far newer. This is thanks to a long-standing regulatory approach that favours open access fibre networks, proactive competition policy, and early investment incentives, all of which have accelerated the rollout of next-generation infrastructure like full-fibre and 5G.
According to our data, only a handful of telecom respondents (less than 5%) said they manage networks that are 16 years or older. Compare this to North America, where nearly a quarter are managing such old networks, and it quickly paints a picture. Comparatively, Sweden has progressed well in shifting away from older infrastructure.
But that doesn’t mean the task is finished. While they have made good progress, Swedish operators are still working towards switching off their copper and 2G networks:
- 88% of respondents say their copper networks will remain operational until at least 2028.
- 48% expect to have decommissioned 2G by 2025, with a further 45% planning to do so by 2030.
Is legacy tech still a barrier for Swedish operators?
Despite being ahead of the curve, Sweden’s service providers aren’t completely immune to the challenges of legacy infrastructure. Legacy service providers still must grapple with the management of old equipment. 92% of Swedish telecom decision-makers agree that older networks hinder their competitiveness compared to newer entrants without legacy infrastructure.
The burden of maintaining ageing infrastructure hits on several fronts:
- Financial cost: Every respondent said their operational expenditure (OpEx) had increased as a result of maintaining legacy tech. While only 19% noted a “significant” rise, the impact is clearly being felt across the board.
- Operational cost: Engineering resources are stretched thin, often focused on repairing and replacing older tech instead of advancing innovation.
- Service reliability: The cost of network downtime can be a huge drain on resources. Sweden fares better than other markets here, with just 13% reporting outages on legacy networks. This is less than half the rate of their UK and North American peers (30%).
- Environmental cost: The energy consumption associated with older networks is stark. Swedish respondents all said that copper uses at least 20% more energy than fibre, with nearly a third estimating it’s more than 30%.
- Opportunity cost: Every respondent admitted that legacy maintenance is diverting investment from next-gen technologies like 5G and fibre. However, only 14% felt this was a significant diversion. Again, showing Sweden is coping better than most.
The result? Telecom operators are evolving their networks more slowly due to the burden of legacy networks
Even in a high-performing market like Sweden, legacy networks are slowing things down. 97% of Swedish operators say they’ve delayed decommissioning older infrastructure, despite planning otherwise. The reasons reflect global industry pressures:
- 40% cite potential disruption to customer services.
- 39% blame high costs.
- 35% say they lack access to the right skills.
So, while Sweden is managing legacy networks more efficiently than many others, these systems still present a very real drag on innovation and agility.
A positive outlook for circularity
Back on a more positive note, where Sweden is pulling ahead is how it’s embracing the circular economy as part of this network evolution. Government bodies such as Naturvårdsverket (the Swedish Environmental Protection Agency) play a pivotal role in guiding telecom operators on how to manage e-waste, enhance circularity, and retire outdated infrastructure. It’s perhaps no surprise that our research has showed that:
- 95% of Swedish operators plan to resell copper as part of their circular strategy, well above the UK and US average of 80%.
- 97% intend to sell their 2G and 3G infrastructure to extract value from retired networks and reduce waste.
While it’s good to see Swedish operators pursuing resale with both mobile and fixed equipment, it is surprising that 2G/3G outscores copper, if only slightly. With the current record price of copper, recovering and reselling this valuable natural resource is a massive commercial opportunity in any part of the world.
While 2G/3G equipment resale is still viable, it’s a commodity that will become less valuable over time as the technology is gradually phased out. Sweden, then, is reaping the rewards of being ahead of the game, as they can resell their legacy mobile equipment well before the market begins to become more saturated.
Case study: Telia shows how it’s done
Our data shows that most Swedish operators are doing a great job at evolving their networks and putting circularity into practice. We’re proud to partner with several of these forward-thinking companies, including Telia, which has completed a major 5G upgrade and decommissioning project.
Following a major 5G upgrade across thousands of base stations in Norway, we worked alongside Telia to process around 70 tons of decommissioned network equipment. That included everything from cabinets and circuit boards to antennas, radios, and cables.
This project is part of Telia’s goal to reach zero waste by 2030. In total, 12,805 parts were sent to our reuse and recycling facility in Eskilstuna, Sweden. Every item was scanned through our i-JUDGE system, which determines whether it can be reused, resold, or responsibly recycled.
It’s a great example of how modernisation doesn’t have to come at the expense of the environment. With the right strategy, network upgrades can be smarter, more sustainable, and more circular.