Asia Pacific Watch

October 30, 2002
Unicom awards Nortel $280 million cdma2000/1X contract

CHINA -- Guangdong Nortel Telecommunications Equipment Ltd, Nortel's flagship manufacturing joint venture company in the People's Republic of China, has signed a series of contracts collectively estimated at approximately $280 million to supply China Unicom with cdma2000/1X wireless network infrastructure equipment.

Nortel's Univity cdma2000/1X equipment will be used to expand China Unicom's existing CDMA network capacity in the provinces of Zhejiang, Shandong, Heilongjiang, Henan and Jiangxi, and in the Chongqing municipality. These expansions are expected to be complete within one year. Univity solutions will help Unicom to improve spectrum efficiency and reduce costs, and position the carrier to migrate to an all-IP packetised network. The contracts were announced at a ceremonial signing in New York City between Pascal Debon, president, Wireless Networks, Nortel Networks, and Yang Xianzu, chairman, China Unicom. The signing was witnessed by Donald Evans, US Secretary of Commerce and Zeng Peiyan, chairman, China's State Development Planning Commission.

Nortel recently outlined its new wireless data networks strategy and a new wireless brand "Univity." Based on packetised voice, all-IP networking and more spectrally efficient access technologies, this strategy aims to address the industry's changing business needs for migration to next-generation technologies and reduce cost of transmitting network traffic by as much as ten-fold.

Debon said: "We are honoured to be selected by China Unicom for these significant projects and appreciative of the instrumental role the US government has played in promotion of CDMA technology in China. We continue to work closely with China Unicom and other global service providers to deploy wireless data networks that can help position them to drive reduced operating costs, protect capital investments and drive profits from growing demand for advanced communication services. We are proud of the market share gains we are making in China and look forward to sharing in China Unicom's continued success in this important market."

Contact:
Nortel Networks
Web: www.nortelnetworks.com


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