Ericsson Secures Optical Backbone Network Contract with Central China Power Grid

Press release
Dec 05, 2006 05:05 (GMT +00:00)
Ericsson (NASDAQ:ERIC) has been selected by Central China Power Grid Co. Ltd. (CCPG) as the sole supplier for its East-West Corridor Optical Transmission Project. By providing 10G and 2.5G SDH equipment and related services, Ericsson will once again prove its industry leading capacity in optical transmission, as well as its firm commitment to supporting the transformation of China's power industry.

Under the contract, Ericsson will supply its most advanced Optical MultiService transport and switching platforms to build an optical transmission backbone network for CCPG.

Upon completion of the network, the transmission capacity of central and south western provinces in China will be greatly enhanced, local electric resources utilized, and local telecommunications improved. Most significantly, it will help improve the supply of power to economically booming areas of Central and South Western China.

The East-West Corridor Optical Transmission Project is the most important one of CCPG's 11th Five-Year Plan. The optical transmission network to be constructed will pass through Hubei and Sichuan provinces and Chongqing Municipality, covering 55 stations and 1,500 kilometers. The entire project is due to be completed and put into operation by 2009.

Mats H Olsson, President, Ericsson Greater China, says "The contract has further strengthened our long-term solid relationship with China's power industry. With our world leading optical solutions and experiences, we will be able to support CCPG in providing safe, secure and high-performance power services to over 380 million users across Central and South Western China."

Ericsson has so far supplied the SDH OMS3200 series, OMS1600 series, OMS1200 series, SMA series3/4 and PCM to China's major power companies, including China Southern Power Grid Corporation, State Grid Corporation of China and its subsidiaries covering North and East China, as well as numerous provincial and local power companies.

The contract highlights the benefits of the Marconi acquisition to Ericsson's customers, who value having a strategic partner and a provider of full service broadband solutions including cutting-edge microwave and optical transport networks, broadband access and IMS.
Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world.

Ilyana Guzmán
Ericsson Media Relations
Phone: +46 8 7196992

About Central China Power Grid Co. Ltd. (CCPG)
CCPG is a subsidiary of the State Grid Corporation of China. As one of the nation's top six regional power companies, CCPG provides power supply and related services to 382 million population in Central China, as well as the provinces of Hubei, Jiangxi, Henan, Hunan and Sichuan and Chongqing Municipality in South Western China. It is the largest regional power company in China in terms of population coverage.

About Marconi OMS 1600 family
The Marconi branded OMS 1600 is a family of compact Optical MultiService transport and switching platforms offering a flexible mix of high density TDM and Ethernet ports capable of delivering a wide range of data and TDM services. Built on Ericsson's pedigree of Marconi SDH and carrier networking products, it is ideally suited for applications ranging from metro-edge service aggregation (with dual TDM/Data bus) to ring-closure in the metro-core network. OMS 1600 can deliver traditional and new services cost-effectively and incrementally, enabling significant network simplification and rapid and efficient delivery so that customers can benefit from a rapid and profitable response to the emerging optical broadband services' demand.