2007-11-30

Ericsson to supply GSM network and managed services to Idea Cellular in Mumbai, India

Ericsson (NASDAQ: ERIC) has been selected by leading Indian operator Idea Cellular as the sole supplier of its GSM network in Mumbai, India. The parties have also entered a managed services partnership.

Under the four-year agreement, Ericsson will supply radio access, microwave transmission, and core network equipment, including Ericsson's Mobile Softswitch Solution. Ericsson will also be responsible for network deployment and integration, as well as managed services including network and field operations. Rollout is planned to begin shortly, with commercial launch rescheduled for May 2008.

The Mobile Softswitch Solution, which sets the stage for Idea Cellular to evolve towards an all-IP network, supports cost-effective network operations for mobile voice services. The future-proof evolution path towards all-IP networks ensures the smooth launch of next-generation multimedia services.

Ericsson will also provide a real-time charging system for traditional telecom services and new multimedia services. The solution is part of Ericsson's end-to-end Revenue Management offering, helping operators improve marketing capabilities, reduce costs and provide users with spending control.

Sanjeev Aga, Managing Director, Idea Cellular, says: "This move extends our long-running relationship with Ericsson and will provide us with a state-of-the-art network in Mumbai. It ensures that we are well-positioned for future network development and addresses increasing customer demand for mobile services in a sustainable and cost-efficient way."

Mats Granryd, Managing Director, Ericsson India, says: "This contract is yet another milestone in our strong relationship with Idea Cellular. We are honored by the confidence shown by them in selecting Ericsson as the preferred vendor for rolling out this prestigious network in Mumbai."

The deal marks Ericsson's first network win in Mumbai and completes its footprint in India's 23 telecom circles. (The country is divided into 23 telecom regions known as service areas, and operators require separate licenses to operate in each service areas.)

Information about the company: Telefon AB LM Ericsson