Swedish telecoms group Ericsson on Sunday signed a $ one-billion deal with China Mobile to supply equipment to expand the Asian company's GSM coverage in 19 regions of China, Ericsson said.
The agreement was signed at a ceremony in Stockholm attended by Chinese President Hu Jintao, who was on a three-day state visit to the Scandinavian country, and Swedish Prime Minister Fredrik Reinfeldt.
Ericsson will supply core and radio network equipment, along with related technical support and services, to expand China Mobile's GSM coverage, Ericsson said in a statement.
The expansion will allow China Mobile to boost network capacity and performance for hundreds of millions of subscribers. Deliveries have already started, Ericsson said.
A second agreement was also signed on Sunday between mobile phonemaker Sony Ericsson and China Postel Mobile Communications Equipment.
The $ 600-million deal concerned mobile phone purchasing, Ericsson said.
Sony Ericsson recently announced a memorandum of understanding with the Shenzhen Telling Communications Corporation for mobile phone purchasing valued at more than USD 500 million.