Ericsson Inks New Zealand Outsourcing Deal

L.M. Ericsson Telephone Co. will operate and manage the entire current mobile network of Telecom Corporation of New Zealand Ltd. under a five-year contract, Ericsson announced Friday.

Ericsson will perform monitoring and surveillance of the end-to-end services, implement network performance improvements, provide hardware support and also manage the field and maintenance staff, according to the announcement. Financial terms of the deal were not disclosed.

This is the first time Ericsson has taken over operations of an existing mobile network, rather than build a network, the company statement said. Ericsson currently operates 20 networks around the globe.

Ericsson announced Thursday it won a US$300 million contract to expand and upgrade the GSM (Global System for Mobile Communications) network for Yugoslav mobile phone operator Mobtel. Ericsson also announced it won a $110 million deal to expand and enhance the GSM network in China for Jiangsu Mobile Communications Corp.

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