Ericsson signs 1.3 billion dollar deal for Indian mobile network

Telecoms giant Ericsson said Friday it had won a $1.3 billion (9 billion kronor) contract to upgrade and expand Indian operator Bharat Sanchar Nigam Ltd's (BSNL) mobile network.

“This deal is set to be a catalyst for future telecom growth in the dynamic Indian market,” the president of Ericsson India, Mats Granryd, said in a statement.

Ericsson said it would supply a second-generation GSM and third-generation WCDMA/HSPA radio access network and transmission equipment.

Deliveries will start in October, with the first phase of the project set to be completed in 12 months.

In July, Ericsson announced it had won a $2 billion order from India’s Bharti Airtel to expand its network into rural areas, the largest order ever received by the Swedish company.

Ericsson will design, plan, deploy and manage Bharti Airtel’s GSM network across 15 regions in India as well as its pan-India pre-paid platform across 23 regions.

Analysts say India is just at the beginning of a telephone boom.

Home to more than a billion people, the country is the world’s fastest growing telecoms market with just 15 percent of its population owning mobile phones compared to 36 percent in China, another major emerging market.