ZTE announced that the company has entered into an agreement with MTN Nigeria to build GSM/UMTS (Global System for Mobile Communications/Universal Mobile Telecommunications System) networks in Nigeria, according to a March 26, 2012 press release by ZTE. Headquartered in the Republic of South Africa, MTN is one of the major telecom operators in Middle East and Africa. As per the agreement, ZTE and MTN Nigeria will team up for mobile network expansion and modernization in two regions in Nigeria. ZTE said that the deployment is expected to reduce network operating expenses by over 50%.