Siemens to supply China with $174 million in mobile network gear
Siemens AG's (SI) communications unit said Monday it will supply CNY1.4 billion ($174.42 million) worth of second-generation mobile network equipment and maintenance services to China's two mobile-phone operators this year.
The deal with China Mobile Communications Corp. (MCC.YY) is worth CNY900 million, while that with China United Communications Corp. is worth CNY500 million, said Charles Wang, head of marketing at Siemens Communications Group in China.
The equipment, including base stations, is based on the Global System for Mobile Communications standard, or GSM, he said.
China Mobile Communications, the larger of China's two mobile phone operators by subscribers, is the parent company of China Mobile (Hong Kong) Ltd. (CHL).
China United Communications is the parent company of China Unicom Ltd. (CHU) and China United Telecommunications Co. (600050.SH).
Siemens also issued separate statements Monday on several agreements it signed in China, including a technical cooperation agreement with the Ministry of Railways.
The company also agreed to cooperate with Chongqing Haifu Technology Co.
Chongqing Haifu Technology, which produces equipment for the treatment of tumors, is based in China's southwestern city of Chongqing.
The agreements were signed during German Chancellor Angela Merkel's visit to China. Merkel is now in Beijing and will fly to Shanghai Tuesday.
