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Telstra chooses Ericsson for 3G network
21:50 AEDT Fri Dec 24 2004
Ericsson Australia Pty Ltd was chosen to supply and service Telstra Corp Ltd's 3G mobile capacity for the next five years.
The agreement, signed late Christmas Eve, involved contracts worth more than $100 million to develop the Telstra GSM mobile network to 3G capability and to build additional network infrastructure.
3G, or third generation, is a high-speed mobile phone service that allows the transmission of live video footage and faster data speeds for downloading information from the internet to a mobile phone.
Telstra Technology Innovation and Product group managing director, Mr Ted Pretty, said the contracts were closely contested.
"We had a number of very high quality and competitive tenders to assess but at all times we had to consider who could provide the best overall solution for Telstra", he said.
Telstra has a deal to share the 3G infrastructure built by Hutchison Telecommunications Ltd, with Telstra to begin offering 3G to its customers in July 2005.
Under the deal, Telstra pays a total of $450 million for a 50 per cent ownership of Hutchison's 3G network.
Telstra shares closed three cents higher to $4.92 on Friday.
http://news.ninemsn.com.au/article.aspx?id=25202
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Posted: 2004-12-24 14:28:08
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