|
 |
 |
Your Location: Home / News & Events / News Releases
May 7, 2003
T-Mobile USA Awards Network Upgrade Valued at US$300 Million to Nortel Networks
Wireless Data Network to Boost Capacity, Reduce Operating Costs, Support Data Services
BELLEVUE, Wash. – T-Mobile USA, Inc., a wholly-owned subsidiary of T-Mobile International, the mobile arm of Deutsche Telekom AG [NYSE: DT], has selected Nortel Networks* [NYSE/TSX: NT] to provide GSM (Global System for Mobile Communications), GPRS (General Packet Radio Service), EDGE (Enhanced Data Rates for GSM Evolution) and packet core Wireless Data Network upgrades and associated professional services under a four-year agreement valued at US$300 million.
The agreement calls for Nortel Networks to deploy core and radio access products from Nortel Networks Univity* portfolio across existing T-Mobile USA network footprints, including the New York, Chicago, Dallas, Milwaukee, Denver, Detroit, and Salt Lake City markets. GSM, GPRS and EDGE-ready infrastructure will enhance T-Mobile USA’s network capacity and capabilities for providing a quality customer service experience when using the company’s portfolio of advanced features and services like visual communications, two-way text messaging, instant messaging, Web browsing and gaming. “The Wireless Data Network deployments will enable T-Mobile USA to leverage and augment Nortel Networks presence across our national network to provide greater capacity in a very cost-effective manner,” said Tim Wong, chief technical officer, T-Mobile USA. “In addition to positioning us to support our growing subscriber base, Nortel Networks is helping deliver personalized service offerings that allow us to deliver on our Get More® promise to our customers and ensure they have a consistent, reliable, quality experience.” “We are very pleased to support T-Mobile in meeting the growing needs of their customers, and to increase our market share across their national network,” said Vivian Hudson, president and general manager, GSM/GPRS/EDGE, Nortel Networks. “Our Univity solutions deliver carrier-grade reliability with industry-leading capacity and spectral efficiency. This enables T-Mobile not only to reduce capital and operating costs, but also empowers them to deliver on a quality experience for their customers.” Nortel Networks has supported GSM network planning and deployment for T-Mobile since the company’s inception as VoiceStream Wireless in 1995. Wireless Data Network infrastructure to be deployed for T-Mobile USA under the new agreement will include Univity GSM Base Transceiver Station S12000 Indoor and Outdoor radio equipment, Univity Base Station Controllers (BSC), and IP core equipment including Univity Mobile Switching Center (MSC). Nortel Networks is also the primary provider of Home Location Register (HLR) infrastructure for T-Mobile USA’s national wireless network. Nortel Networks has deployed 80 GSM/GPRS networks in more than 50 countries and is supplying GSM/GPRS systems to enable Wireless Data Network services for more than 50 operators around the world. Nortel Networks is the industry’s only supplier with Wireless Data Networks operating in all three advanced technologies – GPRS, CDMA2000 and UMTS. About T-Mobile USA, Inc. Based in Bellevue, Wash., T-Mobile USA, Inc. is a member of the T-Mobile International group, the mobile telecommunications subsidiary of Deutsche Telekom AG (NYSE: DT). T-Mobile operates the largest GSM/GPRS 1900 voice and data network in the country, reaching over 245 million people including roaming and other agreements. In addition, T-Mobile operates the largest carrier owned Wi-Fi (802.11b) wireless broadband (WLAN) network in the country, available in more than 2,300 public access locations including Starbucks coffeehouses, Borders Books and Music, airports and American Airlines Admirals Clubs. T-Mobile is committed to providing the best value in wireless service through its GET MOREâ promise to provide customers with more minutes, more features and more service than any other wireless provider. For more information, visit the company web site at www.t-mobile.com.** About Nortel Networks Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com. This press release contains certain statements that are neither reported financial results nor other historical information. These statements are forward-looking statements within the meaning of the safe-harbor provisions of the U.S. federal securities laws. Because these forward-looking statements are subject to risks and uncertainties, actual future results may differ materially from those expressed in or implied by the statements. Many of these risks and uncertainties relate to factors that are beyond Deutsche Telekom's ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behavior of other market participants, the actions of governmental regulators and other risk factors detailed in Deutsche Telekom's and T-Mobile USA's reports filed with the Securities and Exchange Commission (the "Commission"). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. We do not undertake any obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date of this press release. Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the severity and duration of the industry adjustment; the sufficiency of our restructuring activities, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions; fluctuations in operating results and general industry, economic and market conditions and growth rates; the ability to recruit and retain qualified employees; fluctuations in cash flow, the level of outstanding debt and debt ratings; the ability to meet financial covenants contained in our credit agreements; the ability to make acquisitions and/or integrate the operations and technologies of acquired businesses in an effective manner; the impact of rapid technological and market change; the impact of price and product competition; international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry; the dependence on new product development; the uncertainties of the Internet; the impact of the credit risks of our customers and the impact of customer financing and commitments; stock market volatility; the entrance into an increased number of supply and outsourcing contracts which contain delivery and installation provisions, which, if not met, could result in the payment of substantial penalties or liquidated damages; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the future success of our strategic alliances; and the adverse resolution of litigation. For additional information with respect to certain of these and other factors, see the reports filed by Nortel Networks with the United States Securities and Exchange Commission. Unless otherwise required by applicable securities laws, Nortel Networks disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. *Nortel Networks, the Nortel Networks logo, the Globemark and Univity are trademarks of Nortel Networks. **This is a 3rd party link as described in our Web linking practices. Contact for Press and Analysts:Jay Barta
Nortel Networks
(972) 685-2381
jbarta@nortel.com
Additional Media & Analyst Contacts
