Ericsson (NASDAQ:ERIC) today announces that it has been selected by China Mobile (CMCC) to deploy LTE TDD in 15 key provinces in China. These provinces are home to 63 percent of China's population and include the top three provinces in terms of GDP.
This is the first phase of the world's largest LTE TDD network deployment. Ericsson will deploy radio access networks based on its multi-standard RBS 6000. For the core network - which will be used for China Mobile's nationwide mobile network covering 2G, 3G and 4G - Ericsson has been selected to upgrade its installed base, equal to a market share of 40 percent in User Data Management (HLR/HSS). In addition, Ericsson has been awarded 20 percent market share in Evolved Packet Core. This makes Ericsson China Mobile's main supplier in Core.
The scope of the contract also includes network design and optimization services.
Ericsson had no 3G footprint with China Mobile, and this technology shift has strengthened Ericsson's market position.
Jan Signell, Head of Ericsson Region North East Asia says: "We are pleased that our LTE TDD technology and services leadership are recognized by China Mobile. Our leading LTE TDD networks will bring unparalleled network performance to users and create new opportunities for innovations with connected devices and applications. We have been a trusted partner to China Mobile since its introduction of 2G and are committed to supporting the world's largest LTE deployment."
The deal is aligned with the 11 percent market share in radio access networks awarded earlier in the China Mobile central purchasing process in September. The deployment has begun.
Ericsson has been present in mainland China since 1892 and is strongly committed to this market with one of the largest R&D bases and supply and manufacturing sites in the world. In addition, Ericsson was a pioneering developer of the TDD mode of the LTE standard and has made many significant contributions to the advancement of LTE TDD. Ericsson's LTE TDD and FDD solutions share the same hardware platform, with commonly applicable software and features, ensuring that LTE TDD will deliver the same high performance and reliability
Ericsson is the market leader in LTE. Today, 50 percent of the world's LTE smartphone traffic is served by Ericsson networks, which is more than double the traffic of our closest competitor. More than 180 LTE RAN and Evolved Packet Core networks have been delivered worldwide, of which more than 110 have gone live commercially. Ericsson is present today in all high-traffic LTE markets including the US, Japan, South Korea, Australia and Canada, and has been selected by nine of the top 10 LTE operators as ranked by LTE subscriptions worldwide. We expect to hold 25 percent of all essential patents in LTE, both for TDD and FDD mode, and we support common hardware and software for FDD and TDD systems, giving operators maximum flexibility in their FDD and TDD deployment.
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