15 October 2012, Shenzhen– ZTE Corporation (“ZTE”) (H share stock code: 0763.HK / A share stock code: 000063.SZ), a publicly-listed global provider of telecommunications equipment, network solutions and mobile devices, today announced it has completed the first phase of a broadband project with TIM Brasil in Sao Paulo.

The first phase of the project was completed when ZTE finished construction of a multi-service access network (MSAN) for the operator.

ZTE won a 60 per cent share in the first phase of TIM Brasil’s ultra broadband project to provide its industry-leading FTTx solutions including a MSAN. ZTE’s MSAN integrated access system is a comprehensive next-generation multimedia service solution that can transmit voice and high speed data over both fiber and copper lines. It supports a variety of interfaces such as VDSL, PTP and GPON, enabling operators to converge their existing networks and deliver the latest high speed Internet services to customers. ZTE’s MSAN products deployment for the ultra broadband project marks TIM Brasil’s entry into the fixed-line residence broadband market.

TIM Brasil is a wholly owned subsidiary of Telecom Italia. As the second largest mobile network operator in Brazil, TIM Brasil provides services throughout the country, reaching 69 million users. In 2011, TIM Brasil established a subsidiary, TIM Fiber, which is focused on fixed broadband network operation. TIM Fiber aims to build the most advanced broadband network in Latin America, enabling TIM Brasil to offer fixed broadband services to its customers in addition to its wide range of mobile services.

"We are very pleased with the rapid deployment of the network,” said TIM Fiber Marketing Director Flávio Lang. “ZTE’s support in implementing the fixed broadband network has been beneficial to our business."

"ZTE has extensive knowledge and experience in the field of fixed-line access. Our MSAN products support full-service access and enable a smooth evolution to future all-optical networks,” said ZTE Vice President Jiang Xiangyang. “We are confident that the ZTE solution will facilitate TIM Brasil taking the lead in the Brazilian broadband market."

ZTE deployed more than 98 million lines of MSAN equipment globally in the second quarter of 2012, totaling more than 27.9 per cent of the global MSAN market. The company has partnered with 46 operators in 34 countries including: Algeria, Argentina, Brazil, Croatia, Malaysia, Ethiopia, Russia and Venezuela. ZTE also holds more than 43 per cent of MSAN market share in China, the largest market for integrated access construction in the world.