China Mobile is paying Nokia Networks (NSN) nearly $1 billion in a framework agreement for mobile communication equipment and services.
The deal is valued at $970 million and charges NSN with providing its 4G TD-LTE technology including Evolved Packet Core (EPC) and GSM wireless networking equipment, core application platforms, OSS, software, and services to support China Mobile’s 4G wireless broadband network rollout in 2014 and 2015.
Deliveries under the agreement commenced in the first quarter of this year.
Markus Borchert, president of the Greater China region at NSN said in statement that the contract marked a “milestone” in the strategic partnership between China Mobile and Nokia Networks.
“We have been closely cooperating throughout the past years to jointly commercialize and globalize TD-LTE, and this agreement will further accelerate 4G TD-LTE development in China as well as worldwide,” Borchert said.
China Mobile, the world’s largest wireless operator, is leading China’s TD-LTE network rollout and commercialization with over 500,000 4G base stations deployed, and hopes to compelte the project by the end of 2014.
With 46 TD-LTE radio references, Nokia says it is supplying approximately half of all commercial TD-LTE networks globally.