Alcatel Lucent to supply IP broadband network to China Mobile in $1 billion deal

Alcatel Lucent today said it will supply an IP broadband network to China Mobile in a deal valued at around $1 billion (EUR 750 million).

The all-IP ultra-broadband network will be paving the way for future network functions virtualization (NFV) and cloud-based services, said Alcatel Lucent.

The duration of the broadband deal is one year.

The scope of the IP broadband network agreement includes wireless broadband access technology, such as lightRadio 4G TD-LTE overlay and upgrades to existing networks in preparation for 4G TD LTE deployment as well as the lighRadio Metro Radio Outdoor (MRO) Small Cells co-created by China Mobile and Alcatel-Lucent.

Also read: MWC 2014: Alcatel-Lucent announces NFV portfolio, to demo with China Mobile

The deal will also involve IP networking such as Evolved Packet Core (EPC), IP routing technology and next generation optics transmission, such as OTN 100G technology. In addition, Alcatel Lucent, which is gaining momentum under the new CEO, will supply fixed broadband access technology, such as GPON and professional services.

Michel Combes, CEO of Alcatel-Lucent

Michel Combes, CEO of Alcatel-Lucent, said: “We worked with China Mobile throughout many developments in mobile technology, including the development of 4G TD-LTE. We are continuing that close collaboration as China Mobile moves to the next level of ultra-broadband through NFV supporting future cloud applications and services.”

In 2013, China Mobile, the largest telecom operator in the world with over 750 million subscribers, selected Alcatel-Lucent to provide its lightRadio 4G TD LTE overlay, Evolved Packet Core (EPC) and small cells technology to support the new 4G network. China Mobile is looking at becoming the largest 4G operator in the world.

At the Mobile World Congress 2014, Alcatel-Lucent and China Mobile co-demonstrated voice and video delivered over a virtualized proof of concept LTE RAN Baseband Unit (BBU) and virtualized evolved packet core (vEPC) on boarded to the cloud by CloudBand 2.0 – the company’s second generation NFV platform.

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