Smart awards $70-M contract to Nokia

Leading wireless services provider Smart Communications, Inc. has awarded a $70 million (P3.5 billion) mobile phone network expansion and care services contract to Nokia Networks Inc.

Delivery of equipment and services has begun and is expected to be completed by the end of the year. The contract includes an expansion of the GSM (global system for mobile communications) network.

Smart is a wholly owned subsidiary of the Philippine Long Distance Telephone Co. (PLDT).

"Our market projections show continued growth in the mobile arena. We are very pleased with the growth of multimedia messaging and mobile data. We are happy to have reached our ’10 for 10' milestone, that is, 10 million subscribers on our 10th year of service," according to Ramon S. Fernandez, Smart head for administration and materials management division.

He said the contract addresses Smart’s objectives on capacity expansion, preparation for future platforms, as well as continuous service quality improvements.

"The expectations are high and with this deal Nokia is helping Smart to keep its market leadership not only in GSM-GPRS mobile coverage and subscriber count but more so in the release of 3G ready mobile services that include Internet browsing, video streaming, as well as image, MP3 and video downloads and more," Markku Nieminen, Smart account director for Nokia Networks, explained.

The agreements include EDGE-ready (Enhanced Data for GSM Evolution) Base Station Subsystem and Nokia Switching Subsystem, increase in Short Messaging System capacity, and Nokia Flexihopper microwave radios. It also includes systems implementation and integration services, as well as a Care agreement, with the latest software upgrade and spare parts service.

"Servicing 10 million subscribers is a challenge, especially now as we go beyond voice and text messaging and towards data and multimedia messaging services. SMART is looking forward to optimizing our entire business chain, from subscriber acquisition, maintenance, and operating expenditures," Olan Pena, Smart’s head for network services division, explained.

He added that no other mobile operator in this country faces this kind of challenge and that the inclusion of Nokia’s Care services gives them a lot of confidence in meeting these challenges.

Since 1998, Nokia has supplied Smart with complete GSM systems and solutions. It has also supported Smart in network planning and optimization, and has continuously provided care services that maintain network availability and enhance network performance.

In April 2003, Smart made its first EDGE call in the Philippines via Nokia EDGE equipment, paving the road towards the delivery of more data and multimedia messaging services in the country.