Tuesday, Dec 04, 2007

Ericsson (NASDAQ: ERIC) has signed a frame agreement with Mobile TeleSystems OJSV (MTS), Russia’s leading mobile operator, to supply and deploy a 3G/HSPA network.

Under the agreement, Ericsson will deliver a turnkey solution including 3G/HSPA core and radio access network equipment, network management system hardware and software plus a range of professional services such as network deployment, systems integration, operation, technical support and training. 

The commercial launch of 3G network segments is scheduled for second half of 2008.

This move will enable MTS to offer its subscribers high-speed mobile broadband services together with innovative, next-generation multimedia services, such as mobile TV and video calls.

Ericsson’s HSPA (High-Speed Packet Access) provides fast data transmission speeds in uplink and downlink. It also boosts network capacity and lowers response times for interactive services. Ericsson’s unique dual access packet core allows smooth and efficient introduction of high speed 3G/HSPA services through software upgrade of the existing GSM core hardware.

Bjorn Eisner, Vice-President, Ericsson Eastern Europe and Central Asia, says: “We are delighted to continue our longstanding relationship with MTS and become the supplier for their next-generation mobile network in this dynamic and rapidly growing market.”

Ericsson is currently powering 75 of the 154 commercial HSPA networks launched worldwide, with many additional ongoing deployments.

Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world. 

Read more at www.ericsson.com

FOR FURTHER INFORMATION, PLEASE CONTACT

Ericsson Media Relations

Phone: +46 8 719 69 92

E-mail: press.relations@ericsson.com

About MTS

Mobile TeleSystems OJSC (MTS) is the largest mobile phone operator in Russia and the CIS. Together with its subsidiaries, MTS has more than 83 million subscribers and provides GSM services in Armenia, Belarus, Russia, Turkmenistan, Ukraine, and Uzbekistan. MTS is 52.8% majority-owned by Sistema, the largest private sector consumer services company in Russia and the CIS.

About Ericsson’s HSPA solution

HSPA stands for High Speed Packet Access.  An inherent advantage of HSPA is that the technology is a natural extension of existing WCDMA/GSM networks, or about 85 percent of the world’s existing wireless networks, and therefore has the potential to be readily available to a large number of wireless users, creating a mass market for mobile broadband.  By 2010, 71 percent of mobile broadband connections are projected to be HSPA-based.Ericsson’s HSPA mobile broadband solution, part of Ericsson’s Full Service Broadband offering, today enables download speeds of up to 14.4Mbps and upload speeds of 1.4Mbps. The advanced technology lets operators more than double their system capacity and cuts response times for interactive services. On average, users will be able to download 20 times faster than with a GSM/GPRS connection. Future evolution steps will increase the HSPA download speed to 42Mbps and the upload speed to 12Mbps. Ericsson offers HSPA support on many frequency bands ranging from 850MHz to 2.6GHz.

Ericsson and T-Mobile UK, part of Deutsche Telekom, have signed a five-year managed services contract to modernize the T-Mobile UK network and provide managed services with a comprehensive range of professional services. The strategically important contract includes modernization of T-Mobile’s infrastructure, field operations and multi-vendor spare parts management. The contract came into effect on the 1st December 2007.

The five-year contract will enable T-Mobile UK to lower operational expenses whilst maintaining high quality levels, strengthen the company’s platform for growth and improve the customer experience. Ericsson will build on its existing UK managed service capability. Around 190 staff from T-Mobile will be transferred to Ericsson, further enhancing its service organization.

Emin Gürdenli, Networks Director, T-Mobile UK, said: “Ericsson are a long-term and trusted partner and we are very pleased to extend this relationship. This is an important step in the evolution of our network strategy which underpins T-Mobile’s commitment to provide a superior service experience for our 17 million customers in the UK.”

Jacqueline Hey, Managing Director, Ericsson UK, said: “We are very proud to be entrusted with the responsibility for the evolution and continuing field operations of the T-Mobile UK network. This further strengthens our partnership and creates a platform for extended collaboration and future benefits.”

Prior to this new contract, Ericsson was already T-Mobile UK’s 3G core transformation partner. T-Mobile is a global Ericsson customer, where Ericsson supports network operations in the UK, Germany, the Netherlands, Austria, Czech Republic and the US. The contract is the second managed services contract Ericsson has concluded with a Deutsche Telekom company this year. It follows a contract for operation and maintenance of Deutsche Telekom’s microwave network in Germany announced in August.

Ericsson is the largest telecom services company in the world with 28,000 services professionals in more than 140 countries. The company supports networks with more than 1 billion subscribers worldwide. Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world.