China's politics are in change as we can vividly see. The communists still find the need to monitor every call people make and store an archive of every text message sent. Maybe I am exaggerating, but still this may be a glance of reality. Despite this the Chinese government encourages foreign investors and in this cases a tremendous one. Ericsson is not a small unknown company trying to break through. As we all know, their trademark is easily recognized by almost anyone.
Conquering China may not be an easy task but Ericsson has already made its first steps by appearing on local markets and supplying different assets to the Chinese mobile industry. Signing GSM expansion framework agreements with China’s leading mobile operators marks a new step in Ericsson’s business development. China Mobile and China Unicom provide services for some 550 million mobile phone users and don’t forget that Europe’s total population is reaching a merely 700 million.
An Ericsson press release revealed that the framework agreement with China Mobile makes the Swedish company the leading supplier of core and radio equipment to expand GSM/GPRS coverage in 19 regions across China. Albeit this, Ericsson will also keep an eye on the country’s carbon-dioxide emissions, thus they will provide features that will reduce energy consumption in mobile networks. The agreement signed with the other major mobile supplier, China Unicom, will determine Ericsson to help elongate GSM networks in 10 regions in China. This gives a great advantage to the Swedish company since from now on they will be present in Beijing as well. According to the press release mentioned before, Ericsson will provide multimedia solutions for WAP services.
"Ericsson is continuously committed to supporting China's rapidly expanding telecom industry with our global expertise and proven competence. The new framework agreements announced today further strengthen Ericsson's position as the leading mobile communications supplier in the Chinese market. It reflects our vision of providing communications for all, and we are proud to be an integral part of China's economic and social development”, says Carl-Henric Svanberg, President and CEO of Ericsson in the same press release.
Officials from Beijing and Sweden were present at the agreement signing, the Chinese Premier Wen Jibao and Sweedish Prime Minister Fredrik Reinfeldt met by this occasion.
"We are very excited to be carrying out these expansion projects for both China Mobile and China Unicom. It is a privilege for Ericsson to be able to work with our long-term strategic partners to provide advanced, innovative services to hundreds of millions of consumers in China”, says Mats H Olsson, President of Ericsson Greater China, cited from Ericsson’s press release.