Hi3G Scandinavia is to upgrade its radio and transmission network in Denmark and Sweden as it looks to get ready for 5G.
The operator has teamed up with Ericsson on the project, which also seeks to improve its LTE coverage across both markets.
Hi3G, which trades as 3 in Sweden and Denmark, said it wanted to deploy higher order MIMO and massive MIMO in both countries, which it said would substantially increase coverage and capacity.
Ericsson said it would deploy its MINI-LINK microwave solutions as part of the network expansion, which it said would significantly increase the capacity of both networks ahead of the launch of 5G in 2020, as well as the shorter term launch of Internet of Things services and the launch of 5G in 2020.
Jörgen Askeroth, CTO, Hi3G, said: "Hi3G is committed to offering subscribers the best user experiences through our high-quality networks, and with this new deal with Ericsson we are building a solid base to evolve networks to 5G standards."
Telenor announced earlier this month that it was also deploying microwave technology in partnership with NEC. It is looking to roll out the technology across 13 markets in Europe and Asia in a bid to strengthen its transport network.
Arun Bansal, Head of Market Area Europe and Latin America, Ericsson, added: "Capitalising on the opportunity of 5G means an evolution of network capabilities, and our technology leadership allows our customers to offer more advanced use cases and new business models to their customers.
"Our MINI-LINK microwave solutions and the Ericsson Radio System will transform Hi3G's network and let them bring new possibilities to their subscribers."