Asia Express - Mobile Communications
Huawei, Nokia Siemens Networks, Brazil's Oi Team Up for 3G Networks
January 18, 2008
Brazilian telecom operator TNE (Tele Norte Leste Participacoes), operating under the brand name of Oi, announced on January 16 that it has signed a cooperation agreement with Nokia Siemens Networks and China-based Huawei. Under the agreement, the three companies will collaborate on constructing nationwide 3G wireless networks in Brazil.

Pursuant to the terms of the deal, Nokia Siemens Networks will be in charge of the provision of base stations and other transmission equipment, while Huawei will supply the remaining infrastructure. The acquisition of spectrum rights in September 2007 allows Oi to deploy 2G and 3G services in Sao Paulo state. The deal is estimated at one billion Reais (US$558.3 million; US$1 = 1.8 Real). Oi, however, declined to confirm the figure.

The new project is expected to cover 18 states of Brazil, including Sao Paulo, with 3G services to be launched in 53 municipalities within a year following the launch of the service. The 3G service is expected to be available in Sao Paulo state in July 2008, Dow Jones Newswires reported.