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Motorola First To Sign With China Unicom For Phase III Of CDMA2000 1X Network; Wins Contract Worth Nearly $80 Million
Network Expansion Increases Capacity In Jiangsu Province To More Than Two Million Subscribers
BEIJING - Jul. 3, 2003 -- Motorola's (MOT:NYSE) Global Telecom Solutions Sector (GTSS) today announced it is the first to sign a contract with China Unicom for the Phase III expansion of the operator's Code Division Multiple Access (CDMA)2000 1X network. The over $80 million expansion contract will bring advanced mobile communications services to customers in the cities of Nanjing, Suzhou, WuXi, Changzhou, Nantong and Zhenjiang in Jiangsu province, one of the most developed districts of China.
The network expansion, including SC4812 T and SC300 base stations, network optimization services and training, is scheduled for completion in the second half of year 2003. When completed, it will more than double the capacity in those six cities, enabling service for up to 2.2 million subscribers.
"Motorola, a global leader and key equipment supplier for CDMA2000 1X networks worldwide, has been enthusiastically supporting China Unicom in its quest to bring advanced wireless services to its customers," said Kao Rueybin, corporate vice president of Motorola and general manager of GTSS China. "Being selected to participate in the expansion in Jiangsu province, one of the most dynamic and leading contributors to the economic growth of China, is a testament to Motorola's CDMA solution and our ability to deliver network solutions that provide value to our customers."
With the deployment of CDMA2000 1X service in Jiangu province, China Unicom can offer its customers high-speed Internet access and advanced applications and services.
Motorola has been the largest mobile wireless system supplier to China Unicom since 1995 when it began supplying Global Systems for Mobile Communications (GSM) digital cellular network systems solutions, and has played an integral role in China Unicom's migration to advanced CDMA technology.
In May 2001, GTSS signed CDMA 95A contracts with China Unicom worth approximately $407 million for the CDMA infrastructure that laid the groundwork for China Unicom's migration to CDMA2000 1X. It was followed in October 2002 contracts valued at nearly $446 million, to expand the network and upgrade to CDMA2000 1X in the city of Beijing and in 10 provinces, including Guangdong, Jiangsu, Fujian, Hebei, Jilin, Shanxi, Jiangxi, Guangxi, Xinjiang and Gansu. All of the contracts included network equipment and deployment as well as CDMA network optimization services and technical training.
Motorola is a leader in CDMA2000 1X contracts, having won contracts with 12 wireless operators worldwide and shipped more than 30,000 CDMA 2000 1X-capable base stations. ( need clarify the ranking system)Motorola's CDMA2000 1X architecture builds upon existing 2G or 2.5G networks by adding packet based network elements. For the China Unicom network, these network elements include the access node from Motorola's global strategic alliance partner Cisco Systems, Inc. that enables the radio access network to be Internet Protocol (IP) capable. With Cisco's access node, Motorola's CDMA2000 1X radio network offers a standards compliant solution that offers incremental features such as enhanced availability and scalability that help address the most critical needs of mobile wireless operators.
About China Unicom (taken from Oct. 2002 release; needs updating)
China Unicom is a provider of integrated telecommunications services in China, offering a range of services including cellular, paging, long distance, data and Internet services to more than 60 million cellular and 43 million paging subscribers. Of 60 million subscribers, 4 million are CDMA users.
About Motorola
Motorola, Inc. (NYSE:MOT) is a global leader in wireless, automotive and broadband communications. Sales in 2002 were $27.3 billion. Motorola is a global corporate citizen dedicated to ethical business practices and pioneering important innovations that make things smarter and life better, honored traditions that began when the company was founded 75 years ago this year. Sales of Motorola China in 2002 were $5.7billion. For more information, please visit: www.motorola.com.cn
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