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Press Release
The deal paves the way for Korean CDMA technology exports.
The US$1 million contract covers network design, optimization and all other CDMA technology areas.
The project will initially be executed in the three Chinese provinces of Heilongjiang, Fujian and Liaoning.
Rapid opening of commercial CDMA services in China will complete a CDMA belt spanning Korea, China and Japan.
Korea has already been exporting CDMA handsets and
Systems, and now the nation is gearing up to export its world-leading CDMA technology. On June 4, SK Telecom and
Unicom Horizon Mobile Communications Co., a wholly owned subsidiary of China Unicom, concluded an initial US$1 million contract to provide consulting on CDMA technology. The contract covers a full range of issues, including network design, equipment acceptance testing, call quality assessment, and network optimization. The consulting service begins in Heilongjiang Province from June 6 and will be subsequently expanded to Fujian and Liaoning Provinces. SK Telecom is also negotiating similar arrangements in other major provinces.
SK Telecom will dispatch a total of 14 engineers to China to provide the know-how that will eliminate problems and ensure top service quality when commercial operation begins at the end of this year.
The current contract is a follow-up to a cooperative agreement signed between SK Telecom President Pyo Moon-soo and China Unicom Chairman Yang Xianzu in March. SK Telecom is also providing training to Chinese technicians who will be responsible for operating the new CDMA network.
Chinese service providers, who are serving what will become the world?s largest telecommunications market, are recognizing the high quality of SK Telecom?s intangible assets. At the same time, the company has established a presence in Mongolia and Vietnam, and is now poised to break into other markets with its CDMA operation technology.
A successful launch of commercial CDMA services in China will make possible the establishment of a unified CDMA belt spanning Korea, China and Japan. Moreover, by focusing on China, Korea can play an important role in setting world standards for next-generation communications.
SK Telecom is training Chinese engineers on Korean-made CDMA equipment and is also now in China to consult on the actual services. This fact proves the excellence of technology possessed by SK Telecom, the world?s first company to launch commercial CDMA service. At the same time, prospects for Korean exports of hardware and technology have been enhanced.
Once CDMA services are up and running in China, SK Telecom will be in a strong position to take part in other businesses such as wireless text data transmission and reception, an area where China?s current mobile GSM services are weak.
China Unicom was established in 1994 and, with support from the Chinese government, has managed to secure a 24% (second largest) share of the market as of the end of last year. Early this year, Unicom Horizon Mobile Communications Co. was established to operate the CDMA network, which is expected to serve 50 million subscribers by 2003.
1.Cooperation with SK Telecom
SK Telecom was the world?s first to launch commercial
CDMA service and has operated that service very successfully. As such the company has strongly influenced GSM carrier China Unicom?s decision to adopt CDMA. Now, SK Telecom is a strategic partner that is helping this massive company to overcome any problems is faces in building a CDMA network of its own.
SK Telecom has the world?s largest number of CDMA service subscribers and is a strong advocate of building a unified telecommunications belt in East Asia. SK Telecom aims to build progressive relationships by partnering with other CDMA carriers, who have the same needs as SK Telecom, and exchanging technology and personnel with them.
2.Cooperation between SK Telecom and China Unicom
China Unicom is building a nationwide CDMA (advanced IS
95-A, 2000-1x) network. SK Telecom is helping China Unicom build (design, engineering, optimization) a highly efficient and competitive network and put it into operation as quickly and inexpensively as possible.
In the second stage, SK Telecom is using its outstanding operation know-how to provide consulting service so that China Unicom achieves its desired goals with the newly built network. SK Telecom has broad experience covering the development, installation and operation of handsets and value-added services.
3. Chronology of Bilateral Cooperation
Jun. 1999: The first meeting between both chairmen
- In Beijing, proposals made for cooperation
Aug. 1999: SK Telecom?s 1st technology briefing
- In Beijing, over 30 China Unicom people attending
Sept. 1999: SK Telecom?s 2nd technology briefing
- In Shanghai, over 30 China Unicom people attending
Feb. 2000: MOU signed for comprehensive cooperation
- In Beijing, agreement reached on technology and operation
Aug. 2000: The second meeting between both chairmen
- In Beijing, agreement on concrete steps to promote CDMA in China
Sept. 2000: MOU signed on international roaming
- In Seoul, 3-party roaming lease contract signed among SK Telecom, Shinsegi Telecomm and China Unicom
Sept. 2000: The third meeting between both chairmen
- In Seoul, China Unicom?s adoption of CDMA confirmed
- China Unicom?s desire for technical cooperation confirmed
Mar. 2001: CDMA cooperative agreement signed
- In Beijing, Agreement signed by SK Telecom President Pyo and China Unicom Chairman Yang
- Agreement reached on completing a commercial CDMA network quickly, upgrading to cdma2000-1x in the early stage, developing new business lines and value-added services, providing technology support and training.
May-Aug. 2001: CDMA training provided to China Unicom engineers
Jun. 2001: Consultancy agreement signed
4. China Unicom?s CDMA Investment Plans
- China Unicom aims to build a CDMA network to accommodate 50 million subscribers over the next three years (15 million in 2001, 15 million in 2002 and 20 million n 2003).
- This year, the advanced IS-95A network will be constructed in 31 areas of China, including Beijing and Shanghai, and initial service will launched. A test cdma2000-1x system will also be built in 10 regions, including Beijing, Shanghai, Guangzhou and Tianjin.
- In 2002, the commercial cdma2000-1x network will be expanded, and the network will have nationwide coverage by 2003. However, China Unicom lacks the needed personnel and experience, so the company has decided to partner with SK Telecom, which posses some of the world?s most advanced CDMA technology and know-how.
Systems, and now the nation is gearing up to export its world-leading CDMA technology. On June 4, SK Telecom and
Unicom Horizon Mobile Communications Co., a wholly owned subsidiary of China Unicom, concluded an initial US$1 million contract to provide consulting on CDMA technology. The contract covers a full range of issues, including network design, equipment acceptance testing, call quality assessment, and network optimization. The consulting service begins in Heilongjiang Province from June 6 and will be subsequently expanded to Fujian and Liaoning Provinces. SK Telecom is also negotiating similar arrangements in other major provinces.
SK Telecom will dispatch a total of 14 engineers to China to provide the know-how that will eliminate problems and ensure top service quality when commercial operation begins at the end of this year.
The current contract is a follow-up to a cooperative agreement signed between SK Telecom President Pyo Moon-soo and China Unicom Chairman Yang Xianzu in March. SK Telecom is also providing training to Chinese technicians who will be responsible for operating the new CDMA network.
Chinese service providers, who are serving what will become the world?s largest telecommunications market, are recognizing the high quality of SK Telecom?s intangible assets. At the same time, the company has established a presence in Mongolia and Vietnam, and is now poised to break into other markets with its CDMA operation technology.
A successful launch of commercial CDMA services in China will make possible the establishment of a unified CDMA belt spanning Korea, China and Japan. Moreover, by focusing on China, Korea can play an important role in setting world standards for next-generation communications.
SK Telecom is training Chinese engineers on Korean-made CDMA equipment and is also now in China to consult on the actual services. This fact proves the excellence of technology possessed by SK Telecom, the world?s first company to launch commercial CDMA service. At the same time, prospects for Korean exports of hardware and technology have been enhanced.
Once CDMA services are up and running in China, SK Telecom will be in a strong position to take part in other businesses such as wireless text data transmission and reception, an area where China?s current mobile GSM services are weak.
China Unicom was established in 1994 and, with support from the Chinese government, has managed to secure a 24% (second largest) share of the market as of the end of last year. Early this year, Unicom Horizon Mobile Communications Co. was established to operate the CDMA network, which is expected to serve 50 million subscribers by 2003.
1.Cooperation with SK Telecom
SK Telecom was the world?s first to launch commercial
CDMA service and has operated that service very successfully. As such the company has strongly influenced GSM carrier China Unicom?s decision to adopt CDMA. Now, SK Telecom is a strategic partner that is helping this massive company to overcome any problems is faces in building a CDMA network of its own.
SK Telecom has the world?s largest number of CDMA service subscribers and is a strong advocate of building a unified telecommunications belt in East Asia. SK Telecom aims to build progressive relationships by partnering with other CDMA carriers, who have the same needs as SK Telecom, and exchanging technology and personnel with them.
2.Cooperation between SK Telecom and China Unicom
China Unicom is building a nationwide CDMA (advanced IS
95-A, 2000-1x) network. SK Telecom is helping China Unicom build (design, engineering, optimization) a highly efficient and competitive network and put it into operation as quickly and inexpensively as possible.
In the second stage, SK Telecom is using its outstanding operation know-how to provide consulting service so that China Unicom achieves its desired goals with the newly built network. SK Telecom has broad experience covering the development, installation and operation of handsets and value-added services.
3. Chronology of Bilateral Cooperation
Jun. 1999: The first meeting between both chairmen
- In Beijing, proposals made for cooperation
Aug. 1999: SK Telecom?s 1st technology briefing
- In Beijing, over 30 China Unicom people attending
Sept. 1999: SK Telecom?s 2nd technology briefing
- In Shanghai, over 30 China Unicom people attending
Feb. 2000: MOU signed for comprehensive cooperation
- In Beijing, agreement reached on technology and operation
Aug. 2000: The second meeting between both chairmen
- In Beijing, agreement on concrete steps to promote CDMA in China
Sept. 2000: MOU signed on international roaming
- In Seoul, 3-party roaming lease contract signed among SK Telecom, Shinsegi Telecomm and China Unicom
Sept. 2000: The third meeting between both chairmen
- In Seoul, China Unicom?s adoption of CDMA confirmed
- China Unicom?s desire for technical cooperation confirmed
Mar. 2001: CDMA cooperative agreement signed
- In Beijing, Agreement signed by SK Telecom President Pyo and China Unicom Chairman Yang
- Agreement reached on completing a commercial CDMA network quickly, upgrading to cdma2000-1x in the early stage, developing new business lines and value-added services, providing technology support and training.
May-Aug. 2001: CDMA training provided to China Unicom engineers
Jun. 2001: Consultancy agreement signed
4. China Unicom?s CDMA Investment Plans
- China Unicom aims to build a CDMA network to accommodate 50 million subscribers over the next three years (15 million in 2001, 15 million in 2002 and 20 million n 2003).
- This year, the advanced IS-95A network will be constructed in 31 areas of China, including Beijing and Shanghai, and initial service will launched. A test cdma2000-1x system will also be built in 10 regions, including Beijing, Shanghai, Guangzhou and Tianjin.
- In 2002, the commercial cdma2000-1x network will be expanded, and the network will have nationwide coverage by 2003. However, China Unicom lacks the needed personnel and experience, so the company has decided to partner with SK Telecom, which posses some of the world?s most advanced CDMA technology and know-how.