Nokia to supply GSM expansion and MMS trial network to Zhejiang MCC of China


Chinese mobile operator Zhejiang MCC and Nokia have signed agreements for the expansion of Zhejiang's GSM network, as well as for trials of Nokia's MMS and micro-payment capabilities. The agreement further extends the two companies' long-term cooperation in GSM, while broadening their cooperation into new mobile-service offerings.

The value of the deal is estimated at over 85 million USD. Deliveries have already started.

Under the agreements, Nokia will upgrade Zhejiang MCC's switching equipment and radio-access infrastructure as part of its network expansion. In addition to equipment, Nokia will provide extensive support services for fast network ramp-up, including project management, implementation and radio network planning.

At the same time, Nokia will supply trial systems for both multimedia messaging service (MMS) and micro-payment services. MMS allows mobile subscribers to send and receive messages made up of combinations of text, images, graphics, video and audio clips. The micro-payment service allows them to use their mobile phones to make small purchases.

"We are pleased to see our relationship with Zhejiang MCC not only grow, but take on a new dimension," said David Ho, Vice President, Nokia Networks-China. "Now we are expanding our cooperation into the kind of advanced services that will drive the market in the near future. MMS is the natural extension of the highly successful SMS service, and we are happy to show Zhejiang MCC how both MMS and mirco-payments can impact its business."

Nokia's cooperation with Zhejiang began in 1995 with one of Nokia's first GSM contracts in China. Zhejiang MMC serves approximately eight million subscribers in Zhejiang province, China. In November 2001, Nokia Networks and the Zhejiang Provincial Government of China signed a Memorandum of Understanding for the establishment of a new R&D center to be located in Hangzhou, the capital city of Zhejiang province, for the development of platform technologies related to Nokia's 3G mobile networks.

Nokia is committed to long-term development and preferred partnership in China. With innovative technology, Nokia has continuously strengthened its market position in China as a leading supplier of mobile and broadband network systems and mobile phones. China is Nokia's second largest market. The company's investment in China has reached EUR 2 .3 billion. Nokia has established more than twenty offices, eight joint ventures and two R&D centers, with over 5,000 employees in China.

Nokia is the world leader in mobile communications. Backed by its experience, innovation, user-friendliness and secure solutions, the company has become the leading supplier of mobile phones and a leading supplier of mobile, fixed broadband and IP networks. By adding mobility to the Internet Nokia creates new opportunities for companies and further enriches the daily lives of people. Nokia is a broadly held company with listings on six major exchanges.

Further information:
Communications Department, Nokia Networks
Tel. + 358 7180 38195
E-mail nokia.networks@nokia.com
www.nokia.com