Company to Help Carrier Build National WCDMA Network

23 April 2009, Shenzhen, China – ZTE Corporation ("ZTE") (H share stock code: 0763.HK / A share stock code: 000063.SZ), clinches another major customer win in one of the fastest growing markets in Europe. The company today announced that AVEA, one of the Top 3 largest telecom operators in Turkey, has awarded ZTE a WCDMA commercial contract. In line with the company's strategic plan to expand its WCDMA coverage, ZTE will help AVEA construct a national WCDMA commercial network, as well as UMTS network which will cover 33 key cities in Turkey's eastern region.

Under the agreement, ZTE will deploy its state-of-the-art SDR solutions as part of the WCDMA network construction. The new network will have HSPA high-speed data services, and facilitate AVEA's smooth progression to HSPA+ and LTE technologies in the future. This contract win is another significant breakthrough for ZTE in the overseas mainstream telecom market, and follows a recent partnership the company forged with CSL Limited in Hong Kong to build the world's first SDR-based HSPA+ commercial network, and with TATA, India's leading telecom operator to develop large scale commercial network. These accomplishments further demonstrate ZTE’s competitive strength in developing next- generation WCDMA technology.

Turkey is the world's 13th largest telecom market with a huge subscriber base, and ranks 5th in the European market. It is one of the countries with the fastest growing mobile users worldwide. To take advantage of these opportunities, ZTE has expanded its UMTS product offerings in Turkey, adding the country to its growing list of key European markets that include Romania and Estonia.

"We are proud to partner with AVEA to help them develop their WCDMA commercial network in the European region. AVEA has a very mature 2G network infrastructure, and with our cutting-edge SDR technology we are confident to further help them enhance their network quality, and establish a solid presence in the European telecom markets," said 　Mr. Zhu Jinyun, Senior Vice President of ZTE Corporation.

ZTE is committed to providing reliable telecom solutions in line with its objective of successfully penetrating key global 3G markets, as well as establishing prominence in the UMTS field. In March this year, ZTE partnered with CSL to deploy 2,000 base stations resulting in the establishment of the world's first SDR-based All-IP HSPA+ commercial network. During the first phase of the China Unicom WCDMA project, ZTE also took part in deploying its innovative telecom technology and high quality network services in more than half of China’s developed provinces, including Guangdong, Fujian, Shandong and Tianjin.

To date, over 35,000 ZTE SDR base stations have been deployed in large scale networks in countries and regions such as Hong Kong, India, Turkey and mainland China.