Pelephone Selects Nortel Networks to Build $US150 Million CDMA Network in Israel

date: April 24, 2002

Pelephone, Israel's second largest wireless operator, has selected Nortel Networks to build the country’s first CDMA2000 1X 3G digital wireless network, the companies announced today.

Under terms of a two-year agreement estimated to be worth approximately US$150 million, Nortel Networks will be the sole infrastructure supplier for Pelephone’s CDMA2000 1X metropolitan network. Nortel Networks will begin immediately to integrate a turnkey solution with Pelephone’s existing 2G CDMA network to provide coverage initially in the high-density urban areas of Tel Aviv, Jerusalem and Haifa.

"Through our CDMA evolution strategy, we are positioning wireless operators like Pelephone with cost-effective solutions to drive profitability and increase revenue potential," said Pascal Debon, president, Wireless Networks, Nortel Networks. "Our technology will help to strategically position Pelephone for the 3G wireless market in Israel."

"We are starting a new and exciting relationship with Pelephone," said Sorin Lupu, managing director, Nortel Networks Israel. "We are leveraging our global wireless and technical experience and strong 20-year position in the Israeli market to help Pelephone deploy the first 3G network and to lead Israel into the next communications era."

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