Report: Huawei, ZTE Win Big at China Mobile

China Mobile has reportedly finally awarded $3.2 billion in contracts to deploy its forthcoming 4G LTE network.

Reuters cites sources saying that China Mobile Ltd. (NYSE: CHL) has awarded the lion's share of the contracts to domestic vendors Huawei Technologies Co. Ltd. and ZTE Corp. (Shenzhen: 000063; Hong Kong: 0763) Alcatel-Lucent (NYSE: ALU), Ericsson AB (Nasdaq: ERIC), and Nokia Networks each have received about 10 percent of the massive contract each too.

The China Mobile network will be the largest 4G LTE network yet seen -- the operator has more than 700 million existing customers on 2G and 3G networks. China Mobile has said that it expects to install 200,000 LTE basestations this year.

Why this matters
Not only is this a massive deal that all the major infrastructure providers covet, it is also the largest planned deployment for LTE TDD (aka LTE-TD) yet envisaged. China Mobile, because of the spectrum it has available, is using a different flavor of LTE technology to the vast majority of other operators deploying the 4G technology round the world. Sprint Corp. (NYSE: S) is the only US operator planning to deploy this flavor of LTE, using Clearwire LLC (Nasdaq: CLWR)'s 2.6GHz spectrum.

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— Dan Jones, Mobile Editor, Light Reading

shfarooq 8/27/2013 | 6:25:04 PM
Re: Passing the EU test EU can't challenge that lion's share is not going to lowest bidder; I'm safely assuming that NSN is not lagging to Huawei & ZTE in terms of technical evaluation.

Hmmm.... still interesting.
DanJones 8/26/2013 | 6:47:43 AM
Re: Passing the EU test Hmmmmm, interesting point.
DanJones 8/26/2013 | 6:47:08 AM
Re: HUGE NEWS for LTE TDD According to the GSA, there are now 222 LTE TDD devices out there.
kaop 8/26/2013 | 12:51:00 AM
Re: HUGE NEWS for LTE TDD I think this will only benefit ZTE and Huawei devices which already support the time division variant.  They probably offered China Mobile cheaper access in exchange for device preferences.
R Clark 8/25/2013 | 11:50:16 PM
Passing the EU test NSN bid the lowest price of any vendor but still got just 11% of the total - the same as Ericsson and AlcaLu. 

One-third going to Euorpean firms should be enough to stave off the threatened EU inquiry into alleged Huawei-ZTE subsidies. 


DanJones 8/24/2013 | 1:45:32 PM
what's first I'm guessing wireless routers and smartphones.
Shantanu Bhattacharya 8/24/2013 | 1:42:09 AM
LTE-TDD gets a great boost A very big news for LTE-TDD. With such an unprecedented deployment, the global ecosystem for the LTE-TDD is surely going to undergo a huge change.
DanJones 8/23/2013 | 12:41:34 PM
HUGE NEWS for LTE TDD If anything is going to kickstart demand for LTE TDD devices and networking gear it will be this deal. Smartphones, tablets, small cells. all that junque.
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