Ericsson Wins Latin American Broadband Wireless Contract

Ericsson Tuesday inked a $200 million deal to build a pan-Latin American wireless broadband network for Diginet Americas Inc.

The Swedish equipment maker and Diginet previously shook hands on a $100 million network agreement. The expanded relationship will include Ericsson’s MINI-LINK wireless systems and its AXD 301 ATM switch for multiservice networks, all of which will optimize Diginet’s IP, Internet, and broadband services.

Diginet cited its recent receipt of operating licenses in Brazil and Panama as well as a VoIP telephony license in Argentina as reasons for the additional contract requirement.

The company’s wireless broadband platforms became operational via Ericsson’s (ERICY) network in September, three months after the ink dried on the original agreement.

Diginet also looks forward to bringing its Internet and data services to additional markets in Latin America, according to Dave Schmieg, Diginet Americas Inc. president and chief executive officer.