Chinese telecom company Huawei has won a $ 400 million contract from Bharti Airtel for expansion and management of its network in Africa.
According to the agreement, Huawei will be responsible for designing, planning, modernising and expansion of Bharti Airtel's 2G and 3G network infrastructure networks in Africa, Airtel said in a statement on Wednesday. The company has, however, refused to comment on the deal size.
The innovative-managed capacity manager service business model will enhance the customer experience through improved voice quality and extended coverage in under-penetrated areas, the statement said.
“This will lay the foundation for introduction of 3G HSPA (third generation high-speed packet access) wireless broadband services. We believe that mobile broadband is a major catalyst for economic growth and development and with this partnership we will be able to offer world-class and affordable voice and internet experience to our customers while contributing to the economic growth in Africa,” said Manoj Kohli, CEO (international) and joint managing director.
Last year, Bharti had acquired Zain's African operations in 15 countries in a deal for $9 billion. This financial year, the company will invest $1-1.2 billion in Africa. For the quarter ended March, the Africa-related overall loss stood at Rs 416 crore.
In line with the global trends, Africa is experiencing a surge in demand for access to mobile data applications. The modernisation and optimisation of networks will give Bharti Airtel an opportunity to lower its operating expenditure and roll-out innovative and exciting customer centric products and services at affordable prices, the statement added.