China Mobile Reveals Second Phase TD-SCDMA Equipment Bidding Results
China Business News, 11/13/08
China Mobile (NYSE: CHL; 0941.HK) has announced bidding results for its second round of TD-SCDMA equipment bidding. Datang and associated affiliates and subsidiaries, including Datang Mobile, Alcatel-Shanghai Bell, Fiberhome (600498.SH) and New Postcom, won a combined 35-40% share of the bids, with Datang Mobile winning over 25%. ZTE (0763.HK; 000063.SZ) won 28% of the bids, Huawei 17-18%, Nokia Siemens Networks 8%, China Putian (Potevio) 6% and Ericsson 4.5%.
A source with one equipment vendor stated that the above shares were calculated according to the number of base stations in the bid rather than price. A source with another equipment vendor stated that China Mobile would begin its third round of TD-SCDMA equipment bidding in March 2009.
Editor's Note: China Mobile plans to cover 28 cities in its second round of TD-SCDMA network construction, with a total investment of over RMB 30 bln. For more background, please see "China Mobile Invites Bids for TD-SCDMA Equipment", MD 9/12/08 issue, and "China Mobile Details TD-SCDMA Network Expansion", MD 8/25/08 issue.
China Mobile is currently planning its third round of TD-SCDMA equipment procurement covering 162 new cities. For more background, please see "Rumor: 3rd Round TD-SCDMA Construction to Cover 162 Cities", MD 11/10/08 issue.
Keywords: network construction mobile network equipment supply contract 000063.SZ 0763.HK 0941.HK 600498.SH bidding China Mobile CHL Datang Datang Mobile Ericsson Fiberhome Huawei Nokia Siemens Networks Postcom Putian TD-SCDMA wireless ZTE 3G ASB base station
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