Ericsson Gets Deal to Exapnd Chinese Mobile Network
When dealing with the Chinese market, most American and European companies would be criticized for succumbing to the whims of this strict regime. Even Google, Microsoft and Yahoo! weren’t spared from this. But the general response to such criticisms is that it’s better to open up the market, such that some information flow and exchange would occur–this is better than having nothing at all.
BusinessWeek has a brief report.
Wireless equipment maker LM Ericsson on Monday announced deals worth more than US$550 million to expand mobile networks in 17 Chinese regions.
Ericsson said the contracts were signed with China Mobile during the first half of 2006, and includes providing the country’s major cell-phone operator with GSM network equipment and technical support. The expanded networks will support more than 200 million subscribers, Ericsson said.
Ericsson, which is in the top leagues in wireless equipment manufacturing and sales, has been dealing with China Mobile since 1987, and this deal would further strengthen their position as a top equipment provider. And arguably, helping improve on the Chinese telecommunications infrastructure would be helpful to the country’s citizens, in general, as this would help in communications and information exchange.
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