Date:18/05/2007 URL: http://www.thehindubusinessline.com/2007/05/18/stories/2007051805441400.htm

Back Idea signs $500-m deal with Nokia Siemens

Our Bureau

Mumbai May 17 Mobile services operator Idea Cellular Ltd signed a $500-million contract with Nokia Siemens Networks for network expansion here on Thursday.

As per the two-year agreement, Nokia Siemens will expand Idea's GSM, GPRS, EDGE networks to cover centres across six circles of Delhi, Haryana, Uttar Pradesh East and West, Andhra Pradesh and Kerala.

The contract includes supply and services of GSM equipment, intelligent network, value-added service and circuit and core equipment.

Mr Sanjeev Aga, Managing Director, Idea Cellular, said the contract would more than double the existing capacities in the circles and reach out to thousands in new centres within the circles.

"It is part of our larger growth strategy to take our services to more consumers by penetrating deeper in the circles we operate," he said adding that the customer base at the end of the last fiscal doubled to 14.6 million from 7.3 million the year before. The expansion exercise would help cover about 6,000 population centres in these circles.

On Idea Cellular entering the Mumbai market, he said the company had obtained a licence for Mumbai and Bihar, but was yet to be granted the spectrum.

Mr Ashish Chowdhary, Head of India Sub-region, Nokia Siemens Networks, said, "Our innovative product portfolio and services capabilities will redefine the entire approach of providing networks that are affordable and quality-rich. This contract will support Idea to offer its subscribers an outstanding network experience even as services are expanded to newer population centres."