News

Aircel Plumps for Ericsson

(16 Nov 2010, BWCS Staff)

Swedish mobile equipment maker Ericsson has won the contract to roll out a 3G network for Indian operator Aircel. The deal covers the provision and installation of a 3G/HSPA system six of Aircel’s 13 telecom circles – which currently boast a total of 100 million mobile users. The vendor will provide core radio and transmission network equipment as well as related services such as network roll out, network technology and consulting, radio network optimization and support services. According to Ericsson, the contract should take over two years to fulfill. The six Aircel 3G circles to be provisioned by Ericsson are: Tamil Nadu Bihar, Orissa, Jammu Kashmir, North East and Assam.
 
While the value of the Ericsson contract is not known, it is understood that Aircel will have to spend a total of around US$500 million in rolling out 3G to all 13 of its telecoms circles. Rival Indian mobile operator, Bharti Airtel - the country's largest telecom company, in terms of both revenues and customers, is said to be in the process of spending US$700 million on its network, although this figure has yet to be confirmed.
 
India mobile newcomer, Idea Cellular, seems set to sign up a mixture of 3G suppliers, said to include Nokia-Siemens Networks, Ericsson, Huawei and ZTE. Idea is reportedly ready to splurge US$500 million on its future networks in its eleven telecoms circles. Meanwhile, Tata Teleservices has already said that it will rely on Chinese company Huawei for the implementation of 3G services in five of its nine circles, while Nokia Siemens Networks will likely be signed up in the other four.



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