Motorola Signs Frame Agreement with China Mobile
Cooperation will boost China Mobile’s network capability and performance to enable rich communications experiences
May 13, 2009
BEIJING – 14 May, 2009 – Motorola, Inc. (NYSE: MOT) announced today that the company has signed a one-year frame agreement with China Mobile Communications Corporation (CMCC) to provide mobile telecommunication equipment and services. The frame agreement was signed in Washington, D.C. on 27 April 2009, and its projected shipment and services value is estimated to be $310 million reinforcing Motorola’s position as a long term and trusted GSM supply partner to China Mobile.
Under the agreement, Motorola will supply GSM/GPRS/EDGE infrastructure and related services to meet China Mobile’s growth needs in various markets served by Motorola radio infrastructure equipment. Motorola’s cutting-edge products and solutions will be used by China Mobile to provide efficient voice and data capacity and interworking between the customer’s GSM and TD-SCDMA networks. The announcement is the latest in a long history of cooperation between China Mobile and Motorola.
“Motorola has worked with China Mobile for more than 20 years,” said Dr. Mohammad Akhtar, vice president and general manager, Home and Networks Mobility, Motorola China. “As a long-term strategic partner of China Mobile, Motorola is proud to continue being a part of its growth. Motorola has always been an innovator and pioneer in the mobile telecommunications industry. With the comprehensive end-to-end portfolio that covers 2G, 3G and LTE, Motorola stands ready to support China Mobile in building a state-of-the-art network that maximizes investments and delivers the most appealing communications experiences to its end users at home and on-the-go.”
The interworking between GSM and TD-SCDMA has become an important requirement as China Mobile strives to build the best-in-class interoperability between its 2G and 3G networks. As a global leader in GSM, Motorola continues its success in China and has delivered network deployment and optimization services for many years to the customer. With a good understanding of the Chinese market and needs, Motorola can provide 2G/3G solutions that allow China Mobile to maximize its investment and leverage its well-established subscriber base. .
About China Mobile Communications Corporation
Officially established on April 20th, 2000, China Mobile Communications Corporation (“China Mobile” for short) has a registered capital of RMB 51.8 billion and assets of more than RMB 700 billion. It fully holds the equity of China Mobile (HK) Group Limited. China Mobile Limited, of which China Mobile (HK) Group Limited is the major shareholder, have set up wholly-owned subsidiaries in 31 provinces (autonomous regions and municipalities directly under the central government) in China and has gone public in the Hong Kong and New York Stock Exchanges. Currently, in terms of its market value, China Mobile Limited is the largest among all the overseas-listed Chinese companies and also among all the telecom carriers in Asia.
Listed as one of the Fortune 500 companies for seven consecutive years, China Mobile's latest ranking is no.180. China Mobile has been the only Chinese company among the Forbes Top 400 World's Best Big Companies for four consecutive years. China Mobile is the only operator focusing on mobile communication operation, with the largest mobile network and subscriber base in the world. China Mobile is an official partner of the 2008 Beijing Olympic Games. For more information, please visit www.chinamobile.com.
Statements in this press release that are not historical facts, including statements about the projected amount of sales under the agreement, are forward-looking statements based on current expectations that involve risks and uncertainties. Motorola cautions the reader that delays or failure to deliver services on the terms of the agreement, as well as other factors in Motorola's most recent annual report on Form 10-K and in its other SEC filings, could cause actual results to differ materially from the forward-looking statements.
Motorola is known around the world for innovation in communications and is focused on advancing the way the world connects. From broadband communications infrastructure, enterprise mobility and public safety solutions to high-definition video and mobile devices, Motorola is leading the next wave of innovations that enable people, enterprises and governments to be more connected and more mobile. Motorola (NYSE: MOT) had sales of US $30.1 billion in 2008. For more information, please visit www.motorola.com
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