Nokia and China Mobile sign EUR 580 million frame agreement for GSM/GPRS network expansion in China

Nokia and China Mobile sign EUR 580 million frame agreement for GSM/GPRS network expansion in China

Nokia and China Mobile sign EUR 580 million frame agreement for GSM/GPRS network expansion in China Helsinki, Finland - Nokia, a leading mobile telecommunications infrastructure supplier, and China Mobile Communications Corporation (China Mobile), the world's largest GSM operator, have today signed a frame agreement for the purchase of Nokia GSM/GPRS network system equipment. The agreement, valued at EUR 580 million for the full year and for which deliveries have already started, further strengthens Nokia's cooperation with China Mobile and reaffirms Nokia's leading position in GSM network and mobile softswitch system deployments in the Chinese market.

Under the frame agreement, Nokia will supply China Mobile GSM/GPRS radio and core network equipment, including base stations and Nokia MSC Server mobile softswitch, for network expansions in China during 2006. In addition, Nokia will provide professional services, including network planning, implementation and care services for the network expansion. Deliveries have already started.

'The frame agreement reaffirms China Mobile's trust in Nokia and our capability to provide complete solutions. Nokia is well positioned and fully committed to support operators exploring the potential of GSM networks. We can help operators to prepare for future network evolution with the unique end-to-end capability of our unified core network, multi-access solutions, handset leadership and services offering,' says James Lin, Vice President, Networks, Nokia China.

'We are extremely pleased with our cooperation with Nokia,' says Sha Yuejia, Vice President of China Mobile.

Nokia's strategic cooperation with China Mobile started in 1994. Since then Nokia has provided GSM networks to over 20 of China Mobile's provincial affiliates. With Nokia's support, China Mobile has realized many industry firsts in China, including the first international GSM roaming network, the first GSM call, and the first multimedia service with a Nokia device supporting MMS.

Nokia leads the 3GPP compliant mobile softswitch market in China, and is a leading GSM network supplier in the Chinese market with over 20 provincial customers and 100 million mobile lines, of which 20 million are provided by mobile softswitching.

About China Mobile

China Mobile Communications Corporation ('China Mobile') fully holds the equity of China Mobile (HK) Group Limited, which is a major shareholder of China Mobile Limited. China Mobile Limited has subsidiaries in 31 provinces in China. Currently, in terms of its market value, China Mobile Limited is the largest among all the overseas listed Chinese companies and among all telecom carriers in Asia.

About Nokia

Nokia is a world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia connects people to each other and the information that matters to them with easy-to-use and innovative products like mobile phones, devices and solutions for imaging, games, media and businesses. Nokia provides equipment, solutions and services for network operators and corporations.



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