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Ericsson and Hanoi Telecom sign largest network modernization contract in Vietnam including full-scope managed services


Ericsson (NASDAQ:ERIC) has signed the largest single contract in Vietnam, amounting to USD 450 million, to develop and modernize Hanoi Telecom’s nationwide mobile network. The strategic partnership, a first in Vietnam, will also see Ericsson managing and operating the network under a full-scope managed services contract.

Under the three-year managed services agreement, Ericsson will be responsible for the management, operation and network design of Hanoi Telecom’s mobile network, including field operations and support services. Ericsson will also provide a comprehensive range of professional services, such as network deployment and systems integration.

Ericsson will be responsible for the nationwide migration of Hanoi Telecom’s network from CDMA to GSM/EDGE technology, supplying radio access network equipment, optical and microwave transmission, and will be the sole supplier of the all-IP circuit and packet core network. The contract also includes solutions from Ericsson Multimedia portfolio. Deployment has started and commercial launch is set for the end of 2008.

To provide technical support and network operation, Ericsson will expand its operations in Hanoi and Ho Chi Minh City, and set up a new office in Danang City.

Dr. Pham Ngoc Lang, Chairman of Hanoi Telecom, says: “This strategic partnership with Ericsson is a first in Vietnam. It will provide us with a competitive advantage by allowing us to focus on our core business and help position us for rapid nationwide expansion.”

Eddie Åhman, President, Ericsson Vietnam, says: “We are proud to be selected by Hanoi Telecom as a strategic partner. We are confident that our strong local presence, industry leadership in services and technology, and firm commitment in Vietnam will support Hanoi Telecom’s expansion plans in this dynamic market.”

Notes to editors:

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Ericsson is the world’s leading provider of technology and services to telecom operators. The market leader in 2G and 3G mobile technologies, Ericsson supplies communications services and manages networks that serve more than 195 million subscribers. The company’s portfolio comprises mobile and fixed network infrastructure, broadband and multimedia solutions for operators, enterprises and developers. The Sony Ericsson joint venture provides consumers with feature-rich personal mobile devices.

Ericsson is advancing its vision of ’communication for all’ through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 70,000 employees generated revenue of USD 27.9 billion (SEK 188 billion) in 2007. Founded in 1876 and headquartered in Stockholm, Sweden, Ericsson is listed on OMX Nordic Exchange Stockholm and NASDAQ.

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About Ericsson Managed Services
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 applications and content, as well as providing network coverage and capacity on demand. As the undisputed leader in managed services, Ericsson has officially announced more than 100 such contracts with operators worldwide since 2002.

About Hanoi Telecom
The HT Mobile network was launched in February 2005 under a business cooperation contract signed in July 2004 between the Hanoi Telecom Joint Stock Company and Hutchison Telecom Vietnam, a wholly owned subsidiary of Hutchison Telecom. To keep pace with market and technology changes, HT Mobile successfully obtained government approval on March 8, 2008, to convert from CDMA technology to GSM.


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