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China Mobile selects Ericsson managed services


* Sole managed services partner for China Mobile Hebei through a three-year field maintenance agreement
* Largest managed services contract in China for 22,000 base station sites
* China Mobile Hebei is the largest operator in the province with 35 million subscribers

China Mobile Hebei, a provincial company of China Mobile, has selected Ericsson (NASDAQ: ERIC) as a sole managed services partner for all its 22,000 2G/3G (GSM/TD-SCDMA) base station sites through a three-year field maintenance agreement. The Hebei province has a population of 70 million and its area is almost the size of the UK.

Ericsson has already begun providing the service for what is the largest managed services contract the company has received in China so far. China Mobile Hebei is the largest operator in the province with 35 million subscribers.

The agreement allows China Mobile Hebei to improve its network quality and operational efficiency, and further increase its focus on its core business, the subscribers, while Ericsson takes full responsibility for the field maintenance work of all the base station sites.

The cooperation between China Mobile Hebei and Ericsson has also gained support from the Government of Hebei Province, which has expressed its hope that Ericsson will make the best use of this opportunity and set a benchmark for field maintenance services in China as well as a base in northern China.

Li Liangui, General Manager of China Mobile Hebei, says: “We have always acted upon China Mobile’s core value proposition - Responsibility Makes Perfection - and are fully committed to achieving win-win situations with our strategic partners to pay back society the best we can. This cooperation will be a significant move to benefit not only Ericsson and China Mobile Hebei, but also the Hebei Province.”

Mats H Olsson, President of Ericsson China & North East Asia, says: “This shows China Mobile Hebei’s trust in Ericsson’s industry leading managed services capabilities and its willingness to be a strategic partner with Ericsson in China. We are confident of providing the best-in-class services to China Mobile Hebei and to help it capture new opportunities in this challenging and competitive marketplace.”

China Mobile Hebei, China Mobile’s subsidiary in the country’s sixth most populated province, is one of Ericsson’s most important customers and strategic partners. The two parties have had a good long-term partnership for more than 23 years.

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Ericsson is the world’s leading provider of technology and services to telecom operators. Ericsson is the leader in 2G, 3G and 4G mobile technologies, and provides support for networks with over 2 billion subscribers and has the leading position in managed services. The company’s portfolio comprises mobile and fixed network infrastructure, telecom services, software, broadband and multimedia solutions for operators, enterprises and the media industry. The Sony Ericsson and ST-Ericsson joint ventures provide consumers with feature-rich personal mobile devices.

Ericsson is advancing its vision of being the “prime driver in an all-communicating world” through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 80,000 employees generated revenue of SEK 206.5 billion (USD 27.1 billion) in 2009. Founded in 1876 with the headquarters in Stockholm, Sweden, Ericsson is listed on OMX NASDAQ, Stockholm and NASDAQ New York.

About Ericsson’s Managed Services offering
Ericsson has the telecom industry’s most comprehensive managed services offering. It ranges from designing, building, operating and managing day-to-day operations of a customer’s network, including end-user services and business-support systems, to hosting service-layer solutions and providing network coverage and capacity on demand. As the undisputed leader in managed services, Ericsson has officially announced more than 100 contracts for managed services with operators worldwide since 2002. In all current managed services contracts, excluding hosting, Ericsson is managing networks that together serve more than 700 million subscribers worldwide.


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