Nortel Networks* [NYSE/TSE: NT] has been selected by BT Cellnet as the principal supplier to provide its nationwide UMTS (Universal Mobile Telecommunications System) network in the UK, subject to the execution of definitive agreements. The selection, gives Nortel Networks first mover advantage in the 3G Wireless Internet race and further enforces Nortel Networks global leadership position in Wireless Internet solutions.
BT Cellnet will deploy leading edge, cost-effective 3G wireless solutions based on Nortel Networks high performance Internet capabilities. Under the terms of the proposed contract Nortel Networks will be the principal supplier of the end-to-end UMTS network infrastructure (radio and core).
Peter Erskine, chief executive of BT Wireless, and managing director of BT Cellnet, commented: "BT Cellnet has established a clear lead in mobile data solutions in the UK and fully intends to continue this in the development of a new generation of services for our customers. We are moving at Internet speeds to begin the work on building a real network and developing applications.
"We will be re-writing the rules of the mobile Internet when we launch our 3G service and will require the best available partners, who share our commitment and vision of what 3G can bring our customers.
"We were particularly impressed by Nortel Networks commitment to deliver quickly and to work in a very collaborative way with us. Partnerships will be critical to making 3G a success, as BT Cellnet has proved in the delivery of existing mobile Internet services."
"This represents a major win in the strategically important UK market," said John Roth, president and chief executive officer, Nortel Networks. "By moving together at web speed, Nortel Networks and BT Cellnet will redefine mobility, making the high-performance Wireless Internet available anywhere, anytime."
"Nortel Networks is an Internet powerhouse in Europe," added John Roth. "Our high performance Internet solutions carry over 50% of Europe's Internet traffic and are backed by over 20,000 employees. We are a global leader in Wireless Internet and have first mover advantage in bringing IP capabilities to Wireless networks. Together, these capabilities will enable BT Cellnet to redefine the economics and end user experience of the Wireless Internet."
The end-to-end Nortel Networks UMTS solution consists of wide area cellular infrastructure (e-mobility* iBTS - Internet Base Station), a unified packet IP core network (Passport*, Contivity*), network, applications and services management (Preside*, Shasta*) and turnkey network implementation services. Nortel Networks will also establish a UK-based 3G Wireless Internet services center and development team.
The UMTS network and applications will be managed using Nortel Networks Preside for Wireless Networks. The Preside portfolio of solutions enables seamless management of cross-domain networks, creating an environment for enabling new revenue generating services. Preside is a critical competitive differentiator for wireless network investments, capable of binding infrastructure to value-added services and applications.
The selection confirms Nortel Networks position as a global leader in Wireless Infrastructure and Internet, with Europe the most advanced and fastest growing wireless market in the world. Nortel Networks was ranked #1 in Wireless Infrastructure strategy by Herschel Shosteck Associates in April 2000 and #1 in Wireless Internet by the Yankee Group in 1999.