Iran shortlists three European firms for telecoms tender

Published November 27th, 2002 - 02:00 GMT
Al Bawaba
Al Bawaba

In a bid to boost the total number of mobile lines to four million by the end of 2004, the Iranian government has short listed three telecom suppliers for a $76 million tender to provide 1.2 million new mobile lines. The country currently has a mobile phone capacity of approximately two million lines. 

 

Ericsson, Nokia and Siemens will compete for the deal, which was originally issued in February, reported AFP. Iran’s state telecom operator reviewed the tender and recognized a need to downsize its capacity, which caused a delay in bidding. Following the launch of the tender, some 1.3 million people signed up for the new mobile lines. 

 

The use of GSM mobile phones is still relatively low in Iran. However a number of foreign companies have already managed to put their foot in the door. The Iranian government insists that mobile phone manufacturers maintain a local presence before being allowed to sell their brands. It was therefore that way until France's Sagem established an assembly plant in Iran last year, claiming the primary market share.  

 

In April 2000, Ericsson was awarded a contract by the Telecommunications Company of Iran (TCI) to supply equipment for the expansion of a nationwide GSM wireless network. Under the terms of the agreement, Ericsson helped TCI expand the digital mobile phone network to support one million subscribers, up from its previous capacity of 600,000. — (menareport.com) 

© 2002 Mena Report (www.menareport.com)