China Mobile Signs $1B Wireless Deal With Alcatel-Lucent

The world's largest mobile phone service provider on Monday signed a US$1 billion deal to buy a range of wireless networking and 3G (third generation mobile telecommunications) equipment from Alcatel-Lucent.

The deal continues a long running relationship between the two companies and puts Alcatel-Lucent at the forefront of delivering 3G mobile technology developed around China's home grown wireless standard, TD-SCDMA (Time Division Synchronous Code Division Multiple Access).

Alcatel-Lucent's China-subsidiary, Alcatel Shanghai Bell won the deal, which also includes mobile core network equipment, transmission and IP routers and related services.

China's TD-SCDMA networks will be on display at the Summer Olympic Games this year, which open in Beijing this August.

Last month, Samsung Electronics gave Olympic Games organizers in Beijing 15,000 TD-SCDMA handsets in preparation for the event. China Mobile plans to offer 3G services in several cities hosting Olympic events.