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Reliance, Ericsson sign $1 bn managed services contract

Covers 100,000 km of fiber, mobile infrastructure in 11 telecom circles, across North & West India including Delhi, Mumbai

Pradeesh ChandranKatya Naidu Bangalore/ Mumbai
Telecom service provider Reliance Communications Limited, today signed a eight-year full-scope managed services agreement with Ericsson for $1 billion to operate and manage the wireline and wireless networks for 11 telecom circles, across North and West of India including Delhi and Mumbai.

As per the contract, Ericsson will manage the operations across wireline and wireless networks and will take over responsibility for field maintenance, network operations and operational planning of Reliance Communications 2G, CDMA and 3G mobile networks.

Gurdeep Singh, Chief Executive Officer – Wireless Business, Reliance Communications said: “We are happy to announce our partnership with Ericsson to manage our wireline and wireless network enabling us to provide a higher level of customer experience in terms of network and services.”

This is one of the first converged wireless and wireline managed services contract in India. According to a press release, Ericsson will be responsible for improving network performance and ultimately service quality, with the goal of increasing customer satisfaction and retention. The company will also also work closely with Reliance Communications to identify opportunities to introduce new services and expand its existing businesses to help realize the full potential of its network.

Reliance Communications’ infrastructure covers 24,000 towns and 600,000 villages in India, the release added.

Magnus Mandersson, Executive Vice President and Head of Business Unit Global Services, Ericsson, said that as many as 5,000 employees of RCom will join them. As per the agreement between the companies, Ericsson will be responsible for improving network performance and ultimately service quality. The goal of this order, the company says, is to increase customer satisfaction and retention.

“Ericsson will also work closely with Reliance Communications to identify opportunities to introduce new services and expand its existing businesses to help realize the full potential of its network,” RCom said, in a press release.
 

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First Published: Feb 11 2013 | 1:04 PM IST

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