Company Helps to Build UMTS Network for Mongolia’s Skytel and Nepal’s SNPL

Networks Bring High Speed Network Access to Users and Lower Operators’ TCO

15 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 recently sealed two significant UMTS (Universal Mobile Telecommunications System) contracts with two leading mobile operators in Asia, Skytel of Mongolia and Spice Nepal Private ltd.（”SNPL”） of Nepal, to build UMTS networks for the two countries with the plan to provide faster network access and reduce operators’ total cost of ownership (TCO).

ZTE will help Skytel, the leading CDMA mobile operator in Mongolia, build a nationwide commercial UMTSnetwork, making it the world’s first to realize UMTS/CDMA convergence at the core network level.　

According to the agreement, ZTE will provide Skytel with its industry-leading SDR (Soft Defined Radio) solution to enable HSPA high-speed data services to its customers and to support a smooth evolution to LTE in the future. By adopting ZTE’s advanced core network solution, Skytel’s nationwide network will provide subscribers with rich UMTS and CDMA services. Through dual mode terminals that support roaming services in both systems, the new network will significantly enhance Skytel’s user experiences and provide a strong competitive advantage in the market.

 Meanwhile, ZTE has also inked another key contract with SNPL, the leading telecom operator in Nepal to assist in constructing its GSM/UMTS network by providing ZTE’s SDR solutions.

Based on the contract terms, the SNPL’s GSM/UMTS network will cover 6 main zones of Nepal with the goal to offer high speed network access to subscribers and an enhanced user experience, lowering SNPL’s TCO as well as helping it further strengthen its competitiveness in the market. The Phase I network deployment is expected to be completed by the end of October, 2009.

SNPL is the second largest mobile network operator in Nepal to provide GSM/UMTS network services. Famous for its exceptional marketing strategy, it has experienced rapid business growth and is servicing about 1.6 million subscribers. 　

“We are honored to partner with Skytel and SNPL to build integrated UMTS/CDMA and GSM/UMTS networks to assist them in maintaining their leadership positions in Mongolia and Nepal respectively,” said Mr. Zhang Jianguo, General Manager of ZTE’s UMTS products.  “Our SDR technology will help Skytel and SNPL meet their growing market needs while maximizing their ROI to attain the best business results.”

ZTE is committed to the development of UMTS and LTE. The company has been playing an active role in supporting the industry by providing UMTS solutions to worldwide markets including Hong Kong, Romania, Estonia and Turkey, amongst others. Recently, it also 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.

Renowned 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 markets, 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.

As the only core network equipment supplier to support all systems, ZTE provides innovative and advanced core network solutions and services to the industry. By 1Q 2009, ZTE’s core network products serviced 1.13 billion subscribers from 110 countries worldwide.