The contract is valued at US$75 million

Dec 11, 2006 13:52 GMT  ·  By

Motorola announced it has signed a GSM network expansion contract with M-tel, one of the leading mobile communications operators in Nigeria. This expansion will enable M-Tel to extend its coverage across Nigeria. The contract, valued at US$75 million, covers the installation, commissioning and upgrading of sites in the cities of Benin, Ikorodu and Yola.

"M-tel is currently re-grouping its business to prepare to lead the business drive for greater growth and penetration in the Nigerian market. We want to increase the availability of our network and to expand our network coverage as quickly as possible to support greater subscriber growth. Motorola implemented M-tel's original radio network in 2003 and because of the quality of their equipment and their credibility in maintaining that original radio network, we've been very happy to turn to them again to expand our network further," said John Weir, CEO of M-tel.

"Motorola foresees substantial growth potential within the Nigeria market. In 1999 there were 500,000 fixed customers and today there are more than 20 million mobile customers and still, there are many regions that are without coverage. The bulk of the network traffic in Nigeria is voice-centric and the expansion will provide much needed data services such as e-mail and Internet," said Raphael Udeogu, Motorola Nigeria country manager. "The agreement with M-tel reinforces Motorola's continuing commitment not only to Nigeria but to the whole of sub-Saharan Africa. Motorola is strongly positioned to provide quality wireless networking solutions in Africa, with local presence, expertise and capability."

The expansion project is in line with the Motorola Reach GSM portfolio's aim to enable telecommunications operators to connect the next billion mobile subscribers by 2010 - through the rapid and cost-effective deployment of mobile services. Motorola expects the implementation of the expansion to be completed by the end of the first half of 2007.