Nokia selected as the sole 3G network supplier to Orange Switzerland in a deal worth EUR 160 million


Nokia and Orange SA in Switzerland have signed a three-year agreement with a value of approximately EUR 160 million for a complete 3G solution. Orange Switzerland chose Nokia as the sole supplier of its nationwide 3G network for the introduction of new mobile Internet services.

Under the agreement, Nokia will supply its 3G mobility core network, including packet switched and circuit switched elements and WCDMA Radio Access Network (RAN). In addition Nokia will provide a full range of related support services, including the entire process of planning, building and operating the network and developing, managing and optimizing network operations with Nokia Network Management System (NMS).

"Nokia's world-class and cost-effective 3G network solution will enable us to offer our customers highly attractive and cutting edge wirefree life services and applications. We are happy to further extend our existing cooperation in 2G GSM and GPRS network with Nokia," said Andreas S. Wetter, CEO Orange Switzerland.

"This agreement further strengthens Nokia's excellent relationship with Orange. We are delighted to be able to continue as the total network supplier in Switzerland and enable Orange Switzerland to bring state-of-the-art mobile Internet services to its customers," said Ukko Lappalainen, Vice President, Nokia Networks. "Nokia's leading 3G solution can give operators a head start in the race to 3G, offering the flexibility and scalability necessary for succeeding in next generation networks."

As a part of the agreement, Nokia will provide a 3-year bridge financing package to Orange SA, amounting to EUR 240 Million.

Nokia's 3G infrastructure is based on open standards, platforms and interfaces, critical for a smooth evolution to commercial 3G services in a multi-vendor network. It includes integrated end-to-end solutions covering charging, security, network management and service control applications.

Nokia already offers a full range of support services and solutions to help network providers differentiate in today's fast-changing business environment and rapidly build out 3G networks.

Orange Communications S.A., owned by France Télécom/Orange UK (87.5 %), the Banque Cantonale Vaudoise (7.5 %) and Swissphone Engineering AG (5 %), received a licence on 28 May 1998 to set up a GSM 1800 MHz network in Switzerland. On 29 June 1999, it launched its services in the Swiss market and became the number two amongst the three operators only one year later. In December 2000, Orange obtained one of the four UMTS licences to build up the 3G network in Switzerland. “Orange’s corporate vision is that wirefree services will become the preferred personal communications tool for all communication needs. Our mission is to become the leading provider of high quality wirefree life services to the people of Switzerland”, Wetter said. After nearly two years in the Swiss market, Orange has a population coverage of more than 95 %, over 1600 fulltime employees, a turnover of CHF 740 Mio and over 800’000 mobile customers.

Nokia is the world leader in mobile communications. Backed by its experience, innovation, user-friendliness and secure solutions, the company has become the leading supplier of mobile phones and a leading supplier of mobile, fixed and IP networks. By adding mobility to the Internet Nokia creates new opportunities for companies and further enriches the daily lives of people. Nokia is a broadly held company with listings on six major exchanges.

Further information:
Communications Department, Nokia Networks
Tel. + 358 7180 38195
Email nokia.networks@nokia.com

www.nokia.com


Notes to Editors:
3G is also known within Europe as UMTS: Universal Mobile Telecommunications System. 3G is the future of mobile communications and in Nokia's vision, IP-based technologies will eventually form the core of the future mobile network. Nokia's GSM/UMTS system will gradually evolve to an all-IP system, having 3G GPRS network elements as its base. The 3G system will complement the existing GSM system, not replace it. It will be the vehicle that provides wireless access to multimedia services, and a way to provide more voice capacity, or a mixture of voice and multimedia services.