Nortel begins 3G network installation in Spain

date: 24th January 2001, source: totaltele.com

Canadian vendor Nortel Networks has begun installing a 3G network for mobile operator Airtel in Spain. The network, covering 23 cities, is scheduled to be operational in August this year.

"We believe we are the first company to deploy a UMTS base station in a commercial network based on 3GPP," said Scott Wickware, responsible for wireless Internet strategic marketing at Nortel. The 3GPP standard was agreed by the third-generation partnership program (3GPP) and differs slightly from the "earlier variant" technology being deployed in Japan.

Nortel won the contract, worth US$100 million, in September. It is the sole supplier for the initial phase-one rollout. Airtel, Spain's second largest mobile operator and majority-owned by U.K. operator Vodafone, has already deployed base-station equipment in Madrid, Barcelona, Valencia and Seville.

Nortel said it has won 3G contracts worth a total US$2.1 billion, including contracts with BT Cellnet and One 2 One in the U.K.; T-Mobil in Germany; max.mobil in Austria; Airtel and Xfera in Spain; and AT&T Wireless in the U.S.

According to a recent study by U.S. investment bank Merrill Lynch, Nortel has 20% of the global wireless Internet infrastructure market, second only to Ericsson.

"Ericsson's claim is based round the number of contracts," said Wickware, whereas Nortel has won high-value deals.

3G networks require "a new set of competencies" compared to GSM, he added, notably IP and CDMA strengths. "You can't be basing your decisions on the same set of criteria as GSM."

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