Company Helps Provide Fast Network Access to Subscribers and Lower Viettel’s TCO

9 June 2009, Shenzhen, China – ZTE Corporation (“ZTE”) (H share stock code: 0763.HK / A share stock code: 000063.SZ), a leading global provider of telecommunications equipment and network solutions, today announced that it has partnered with Viettel, the largest telecom operator in Vietnam, to help it build a UMTS network in the country by providing ZTE’s SDR (Soft Defined Radio) solutions to support the network. By successfully bidding on part of Viettel’s UMTS tender, ZTE has gained 20% share of the Viettel’s contract.

Under the agreement, the UMTS network will provide fast network access to subscribers and enhance user 3G services experience. The UMTS solutions that ZTE provides will assist Viettel in reducing its TCO [total cost of ownership] and further strengthening its competitiveness in the market. Thenetwork deployment is expected to be completed by September 2009. 

Renowned for its efficiency and strong team spirit, Viettel has experienced rapid business growth in the local Vietnam market. It worked together with ZTE in early May to go through a series of HSPA+ capability tests including Hong Kong’s CSL’s HSPA+ commercial network, related HSPA+ projects, and assessments on 64 users with single cell capability conducted in ZTE’s Shenzhen R&D laboratories.

“ZTE’s partnership with Viettel to build its UMTS network in Vietnam lays a concrete foundation for our long-term cooperation with Viettel,” said Qian Qiang, General Manager of South East Asia, ZTE Corporation. “This agreement also further solidifies Viettel’s leading edge in the mobile communications industry, including its fast business development in 3G network, enhancement of customer satisfaction and strong competitiveness to meet market demand,” added Mr. Qian.

ZTE is committed to the development of UMTS and LTE. It has partnered with Hong Kong’s number one mobile operator CSL Limited to build the world’s first SDR-based HSPA+ all-IP commercial network successfully by deploying more than 2,000 base stations in just 11 months.

For its innovative technology and outstanding services, ZTE has attained excellent bidding results in Unicom’s Phase I WCDMA tender in China. The company has now successfully entered into more than half of China’s provincial market, including Guangdong, Fujian, Shandong, Tianjin and other China provinces. ZTE has also successfully helped Unicom complete its Phase I WCDMA network deployment in the above developed provinces.

At the same time, ZTE has been shipping significant amounts of UMTS products to diverse global markets including Hong Kong, Turkey, Uzbekistan, Belarus and Indonesia, amongst others.