China Mobile & China Unicom sign frame agreements valued at 750 million euros with Nokia Siemens Networks

in News, China Mobile, China Unicom, Nokia Siemens Networks, 3G, LTE, WCDMA

April 23, 2010 - China’s leading telecom operators, China Mobile Communications Corporation (China Mobile) and China United Network Telecommunications Corporation Limited (China Unicom) have signed frame agreements to continue purchasing GSM, WCDMA and TD-SCDMA mobile network equipment and solutions from Nokia Siemens Networks. The agreements reinforce the vendor’s ties with the two Chinese operators, who signed similar agreements last year as part of the China-Europe Purchasing delegation*.

“We are gratified that two of the world’s fastest growing mobile operators continue to place their faith in us,” said Zhang Zhiqiang, president of the Greater China Region at Nokia Siemens Networks. “Undoubtedly, our well proven capabilities in deploying GSM, WCDMA, TD-SCDMA and LTE networks – and the pioneering steps we have taken in next generation TD-LTE technology – have played a vital role in establishing us as the vendor of choice for these two leading operators.”

Under the scope of the current agreements, China Mobile plans to purchase Nokia Siemens Networks’ GSM and TD-SCDMA network equipment, and its IP Multimedia Subsystem solution.

China Unicom, on the other hand, will source Nokia Siemens Networks’ GSM and WCDMA equipment, as well as its HSPA solution, while continuing to purchase the company’s unique “direct tunnel” packet core technology. Direct tunnel will help the operator cost-effectively keep pace with the rising demand for data traffic.

Nokia Siemens Networks’ industry-leading energy-efficient solutions will allow the operators to reduce network operating costs and lower the power consumption by exploiting more efficient technology. In addition, both operators will receive various network services, including network planning, implementation, maintenance and training services to support the newly constructed 3G networks and ensure the provision of commercial services to consumers.

Building upon its established position as the leading WCDMA vendor for Taiwan, Hong Kong and Macau, and crucial agreements such as the supply of TD-SCDMA to Beijing Mobile, Nokia Siemens Networks is well placed to expand its 3G network footprint in the Greater China region this year.

Furthermore, Nokia Siemens Networks has steadily built up a strong manufacturing, R&D, operations and distribution presence in China. With the company locating three of its nine manufacturing sites in the country, Nokia Siemens Networks has also significantly invested in R&D activities in China, creating a TD-LTE competence center in Hangzhou, with plans to increase its R&D staff during 2010.

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