Ericsson and Telecel sign Mobile Internet contract

Ericsson (NASDAQ:ERICY) and Telecel Comunicacoes Pessoais, the leading private telecommunications operator in Portugal, have signed a contract for equipment and services to upgrade Telecel's GSM network and introduce Mobile Internet with WAP and GPRS.

The agreement strengthens Telecel to rapidly introduce Mobile Internet using WAP and GPRS technologies. Included in the Ericsson deliveries are a complete GPRS system, a WAP Gateway/Proxy and the AXC/Tigris MultiService Access solutions. In order for Telecel to conduct extensive preparations for their first commercial launch of packet-switched applications, Ericsson has already delivered a GPRS field trial system with infrastructure, terminals and applications.

General Packet Radio Services (GPRS) introduces packet switching and the Internet Protocol to mobile networks, enabling the mobile Internet and infinite applications. Ericsson's GPRS system will enable operators to offer mobile Internet and other IP-based applications at speeds up to more than ten times as fast as current mobile networks that are optimised for voice applications. GPRS is a first vital step in the evolution to third generation (3G) mobile networks, fully enabling Mobile Internet applications and a range of other advanced data services.

"This agreement demonstrates Telecel's commitment to provide new, innovative and top-quality services to our Customers. We believe that in three to five years, about 20 percent of Telecel revenues will come from data transmission. Telecel will lead the mobile data revolution in Portugal," says Paulo Neves, Telecel's Marketing Director.


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