Chinese firm beats Ericsson to 4G deal

Ericsson's Chinese competitor Huawei has made deep inroads into the Swedish company's home turf after securing a deal to deliver a major 4G network in Sweden.

Telecom operators Telenor and Tele2’s joint venture Net4mobility has selected Huawei to roll out its new high speed network. Both Tele2 and Telenor said they were won over by Huawei’s competitive prices.

“It has been a long procurement process in which we discussed both technology and price before settling on Huawei,” Tele 2 Sweden CEO Niclas Palmstierna told the TT news agency.

“All actors in this process are strong on technology and have comparable offers. But we opted for Huawei because they met with all of our important parameters,” he added.

Net4mobility aims for its high speed 4G mobile network to be available to 99 percent of the population by 2013, with work on the project set to start next year in the major Swedish cities.

Ericsson said it regretted the decision not going its way.

“We went as low as we possibly could in price during the negotiations but it wasn’t enough,” said Mikael Bäckström, head of Ericsson in the Nordic and Baltic regions, in a statement.

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