OSLO, Norway -- Telenor Satellite Services announced today that it signed an agreement on June 24 with British Telecommunications to provide a global managed IP custom network over satellite to 83 European Commission embassies around the world.The four-year agreement has an estimated value of 50 million euros and includes options for service extensions. The European Commission recently selected BT as the prime provider of its global managed IP network for terrestrial and satellite communications for Commission embassies worldwide. BT will provide the terrestrial connectivity and has selected Telenor Satellite Services to deliver communications over satellite via Telenor's very small aperture terminal (VSAT) equipment. Under the terms of the agreement, Telenor will provide BT a robust set of satellite capabilities that enable the European Commission embassies to use satellite solutions as either stand-alone services or integrate them with BT's high-end MPLS-based IP VPN service. Telenor's services include the design, delivery, installation, assembly, engineering, construction and maintenance of satellite communication networks with guaranteed availability and quality of service.

"Telenor and BT are both global leaders, providing customers a wide portfolio of services that incorporate the latest advances in communications technology,'' said Tore Hilde, chief executive officer for Telenor Satellite Services. ``The powerful global terrestrial network offered by BT coupled with Telenor's established satellite communications network will provide a highly robust and extremely reliable global communications network for the European Commission."

Telenor ASA