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Nokia Building More GSM Networks in China

Looking to build its wireless empire in the burgeoning Chinese marketplace, cell phone maker Nokia Thursday said it has inked a USD$100 million deal to expand GSM networks in the country.

Finland-based Nokia said it is working with Chinese mobile operator, Henan Mobile Communications Company (MCC) to deliver both GSM core and radio access network infrastructure and Nokia's Operations Support System package, Nokia NetAct.

Henan has been looking to enhance its network capability and rural coverage and strengthen network capacity and quality around the provinces it serves.

In addition to network equipment, Nokia said it will provide network planning, implementation, and project management for efficient network ramp-up, as well as optimization services, including training, software maintenance and onsite support services.

"Nokia has been the main supplier of Henan's GSM network at every phase since 1995 and this latest expansion also underlines Nokia's commitment to provide advanced mobile technology solutions in China," said Nokia China Vice President David Ho.

Nokia has been at the forefront of building GSM in the Asian/Pacific area. The company's investment in China has reached USD$2.2 billion. Nokia has established more than twenty offices, eight joint ventures and two R&D centers in China.

In 2001 for example, the company signed an agreement with Shanxi Mobile Communications Corporation for the expansion of its GSM 900 network in China at the beginning of the year. A month later, Nokia supplied a GSM 900 and GSM 1800 network expansion to Chinese operator Fujian MCC in a deal worth $230 million.