In a deal potentially worth $388-million, Ericsson has signed a Memorandum of Understanding (MoU) with mobile communications group MTN to further expand the group's network operations across Africa and the Middle East.
"We are delighted to have been selected by MTN," says David Clayphan vice-president and MCA head at Ericsson. "This is a substantial commitment and a clear reflection of the close, successful business partnership that has developed between the two organisations over the past 14 years."
The focus of the agreement is on infrastructure expansion, network roll-out, upgrading of base stations and introduction of new advanced technologies in the region.
"This is a natural extension of our relationship with Ericsson since the firm has consistently proved itself to be an exceptional technical partner," says Sifiso Dabengwa group COO at MTN. "We operate in highly competitive markets and the company's technological abilities continue to give us the quality edge."
Ericsson's involvement in Africa and the Middle East spans the full spectrum of telecoms, from infrastructure to value-added services. One of the company's main objectives is to establish a leading position in the emerging mobile datacoms market by driving the development of third-generation mobile networks and putting the Internet within reach for many people for the first time, and making communication for all a reality.
Ericsson counts more than 50 mobile and over 20 fixed-operators in sub-Saharan Africa as customers and has more than 45% market share in the African GSM space.