Friday, February 15, 2013

Nepal Telecom signs pact with Huawei to extend 5.2 million mobile lines in first phase

Nepal Telecom (NT) has signed $119 million agreement with Huawei Technologies for adding 5.2 million mobile lines— for the first phase of its 10 million mobile lines – expansion project.
The Chinese telecom vendor Huawei will install equipment, commission service and provide managed service for up to five years, according to the agreement signed here today. Nepal Telecom managing director Amar Nath Singh and Huawei solution manager Huang Ahua and account manager Roshendra Khadka signed the agreement on behalf of their respective institutions.
The largest telecom service provider had called the tender for the 10 million mobile lines expansion last year, when Huawei had quoted the lowest $122 million for the Package A that will add 5.2 million mobile lines in Central, Eastern, Mid-western and Far-Western development regions within the next two years, except Kathmandu Valley.
The signing of agreement delayed as the Nepal Telecom had to follow the tender conditions and the Public Procurement Act being a government-owned company.
The project would help expand the market with quality service as according to the recent data private telecom service provider Ncell has been leading the market.
However, the Nepse listed Nepal Telecom claimed the complete package of projects including A and B will give it a strong hold in the local market amid growing competition from private sector players. The project also includes 3G and 4G mobile lines capable of providing high-speed wireless data service.
The project will help provide quality service as the vendor bagging the contract will also work as managed service provider for maintenance of the network to be installed. In both the packages, Huawei will provide maintenance facility for five years after the lines become operational.
Likewise, the company is also planning to outsource sim card distribution under the 10 million lines project for ensuring easy availability of the service.

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