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Vodafone nears 3G equipment deal

April 20, 2004

Vodafone is thought to have awarded a huge contract to Finland's Nokia to build 3G mobile phone networks in New Zealand and Australia that could begin service in the first half of next. The awarding of the contact, reported by the local press, has not been confirmed by Vodafone. An official announcement of a signed contract is expected "a couple of weeks away".

The deal is believed to be worth several hundred million dollars to Nokia over a number of years. Other equipment vendors involved in the bidding included Ericsson Communications, Nortel Networks, Siemens and NEC.

The first phrase of Vodafone's 3G rollout is likely to focus on cities with high population density and central business districts. It would take several years before 3G services are extended nation-wide.

TelstraClear is also looking to build a 3G network in New Zealand. Nokia, Ericsson, Siemens and NEC are among the vendors competing for the equipment contract. The company had preferred to co-build a network with a partner operator rather than build one from scratch.

 

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