Alcatel wins US$ 76 million GSM expansion contract in China's Zhejiang Province
Paris, March 11th, 2002 - Alcatel (Paris: CGEP.PA and NYSE: ALA), through its Chinese joint-venture Shanghai Bell Alcatel Mobile Communication System Co. (SBAMC), has signed a GSM network expansion contract with Zhejiang Mobile Communication Co. (Zhejiang MCC). This 8th network expansion, which will bring Zhejiang GSM network to a total capacity of 16 million subscribers, will also raise Alcatel's infrastructure capacity to 6.8 million subscribers. Estimated value of the contract is USD 76 million.
Alcatel will deliver and install its Evolium mobile infrastructure (base stations, base station controller, mobile switching center and home location recorder) and software in seven cities and regions of the Zhejiang province in the first half of 2002. Alcatel's infrastructure, which has already been supplied to 18 provinces in China, will be manufactured by SBAMC. The software will allow seamless roaming between GSM and DCS 1800 technologies.
Zhejiang Province, located in the eastern coast and with a population of 46 million, is one of China's most developed provinces.
Chen Lixin, president of SBAMC, declared: "Our cooperation with Zhejiang MCC dates back to 1993, when Alcatel built Asia's first GSM mobile network trial in the city of Jia Xin. This 8th expansion contract confirms once again the long-term trust from our strategic partner Zheziang MCC."
Xu Long, general manager of Zhejiang MCC, added: "We are very pleased to continue our cooperation with Alcatel. A good partner is the guarantee for building a high-quality network to meet the ever-growing demand of mobile subscribers in Zhejiang."
In a significant market shift, Alcatel is now the world's fastest-growing GSM/GPRS supplier. Currently, over 110 mobile operators worldwide rely on Alcatel's Evolium(TM) GSM/GPRS core and radio solutions. Besides, Alcatel's UMTS solutions are a reality today, with 15 pre-commercial UMTS networks already installed worldwide, and another 10 to be delivered by mid-2002. Alcatel's strategy covers all aspects of UMTS deployment, from radio access and core network up to applications and terminals. In particular, Alcatel's Evolium SAS capitalizes on Japanese 3G technical and field experience, and delivers a field-proven 3GPP-compliant UMTS radio infrastructure.
About Alcatel Alcatel designs, develops and builds innovative and competitive communications networks, enabling carriers, service providers and enterprises to deliver any type of content, such as voice, data and multimedia, to any type of consumer, anywhere in the world. Relying on its leading and comprehensive products and solutions portfolio, stretching from end-to-end optical infrastructures, fixed and mobile networks to broadband access, Alcatel's customers can focus on optimizing their service offerings and revenue streams. With sales of EURO 25 billion in 2001 and 99,000 employees, Alcatel operates in more than 130 countries.
About Alcatel in China Alcatel came to China in 1983. Its heavy investment in China has now brought forth 17 joint venture and wholly owned companies, and 6 R & D centers, covering the full scope of activities spanning the air, the land and the sea. It is also the supplier of all major China telecom operators.
About Alcatel's Evolium solutions Alcatel is now the world's fastest growing GSM/GPRS supplier. Currently, over 110 mobile operators worldwide rely on Alcatel's Evolium GSM/GPRS core and radio solutions. By creating Evolium SAS, an Alcatel-Fujitsu company, Alcatel clearly reinforces its position in both mobile infrastructure and mobile Internet. Evolium SAS combines Alcatel's expertise in GSM, GPRS, and EDGE as well as in ATM and IP technologies, with the advanced experience of Fujitsu as supplier of NTT DoCoMo. By the end of 2001, NTT DoCoMo had over twenty eight million i-Mode subscribers in Japan and has started the commercial operation of its 3G mobile communication services on October 1st 2001. Alcatel's UMTS solutions are a reality today, with 15 pre-commercial UMTS networks already installed worldwide, and another 10 to be delivered by mid-2002. Alcatel's strategy covers all aspects of UMTS deployment, from radio access and core network to terminals. Alcatel's Evolium SAS delivers a radio infrastructure that is 3GPP-compliant, field-proven and capitalizes on Japanese 3G technical and field experience. Alcatel, which played a vital part in developing the mobile Internet market, in particular through the successful roll out of GPRS commercial networks world-wide, has today a timely UMTS offering.
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