Global Communications, a provider of deploying and operating wireless broadband
and telecom networks worldwide, announced its agreement with Next Generation
Special Network Communication Technology in China.
already holds a PRC-issued value added services license to provide location
based tracking services and other information service nationwide.
will form an operating company to be jointly owned with NGSN but subject to VelaTel’s control. The operating company will enter into an exclusive
services contract with NGSN to deliver the information services and a 4G
network in China.
parties will work on the deployment of a 4G network that will employ TD-LTE
technology using equipment already commercially available and manufactured by
VelaTel’s strategic partner ZTE Corporation.
VelaTel will finance and the joint venture will own the infrastructure equipment.
VelaTel will also provide all engineering and network management services
including engineering. VelaTel has already completed for 29 major PRC cities in
connection with a different WBA project. VelaTel and NGSN expect to finalize
the services contract and form the joint venture company before the end of
first phase of the network VelaTel will deploy and operate for NGSN will cover
the Heilongjiang Province in northeast China, with a population of
approximately 39 million, and will utilize NGSN’s existing value added services
license to deliver personalized navigation and location based services (LBS)
including GPS, mobile resource management solutions that allow enterprises to
monitor and manage mobile workforces and assets.
operating company will distribute its services to consumers, wireless carriers,
enterprises and automobile manufacturers, and original equipment manufacturers.
The network will be expanded to other regions as well as by offering 4G network
services in China.
is seeing unprecedented demand for vertical M2M (machine to machine) solutions.
In addition to location based services, applications include home automation,
energy and environmental protection, industrial automation, health care,
precision agriculture, public security and video surveillance,” said Lu Bin,
GM of NGSN’s WBA Division.
NGSN project represents an expansion and diversification of the services
VelaTel delivers, particularly in China.
of a retail consumer model, and the attendant challenges of marketing budgets
and competition with other carriers for subscribers, this transaction reflects
a business to business model, with NGSN acting as both the ‘anchor tenant’ and
the broker with a financial incentive to expand the network’s paid users by
recruiting other affiliated businesses,” said George Alvarez, CEO of