KTF selects LGE and Nortel for 3G deployment in Korea

September 7, 2005

KTF, a Korean cellular provider, has selected LG Electronics (LGE) and Nortel to power its new ultra high-speed broadband wireless communication service throughout Korea's major metropolitan areas including Seoul.

Nortel will provide HSDPA-based access equipment, while LGE will furnish the UMTS core network solution for this service. This is the first collaborative win for LGE and Nortel since announcement of the LG-Nortel joint venture in August 2005.

The 3G UMTS solution with HSDPA will allow KTF subscribers to access new wireless multimedia services such as high-speed music transfers, real-time DVD-quality video, gaming applications, videoconferencing and split-second multimedia collaboration. KTF's HSDPA wireless network will be capable of delivering services at download speeds up to 14.4 Mbps - 30 times faster than today's commercially deployed wireless networks.

Beginning with Seoul, KTF plans to roll out its HSDPA-ready broadband wireless network to 17 cities by December 2005, and to extend it to an additional 45 cities by June 2006.

"We chose the Nortel solution because we believe it will enable us to bring KTF subscribers new and unprecedented levels of wireless speed and functionality and help us to maintain our position as a global leader in mobile broadband," said Won-Jin Park, executive vice president, KTF.

"HSDPA is the first step in the evolution beyond 3G, and we look forward to working with KTF to help realize the full potential this exciting new technology can deliver," said Peter MacKinnon, president, GSM/UMTS, Nortel.

Korea has the highest broadband penetration in the world and is an early adopter of cutting-edge mobile technology.

Nortel was the first to make HSDPA drive calls in January 2005. In March 2005, Nortel and LG Electronics completed the industry's first live test calls using a commercial handset solution for HSDPA. In June 2005, Nortel became the first wireless network supplier to complete the TL9000 registration standard for Quality Management System Requirements and Measurements across its end-to-end portfolio of hardware, software and services for HDSPA, UMTS and GSM wireless infrastructure solutions. This quality certification milestone underscores the breadth of Nortel's UMTS solutions, which include solutions across all probable frequency ranges and multiple base station configurations.

LGE and Nortel executed a joint venture agreement on August 17, 2005 to establish a joint venture company in the area of telecommunication infrastructure businesses. The joint venture company is scheduled to be established within this year, subject to fulfillment of certain conditions provided in the agreement.