ChinaTel has announced that its subsidiary Perusat has signed a contract with ZTE to provide equipment and services for its deployment of a wireless broadband telecommunications network in Peru. The total value of the contract is expected to be approximately USD48 million over seven years. The purchase orders for the first phase have a value of USD6.98 million of which ZTE will finance 85%. National banks in China with whom ZTE has relationships are expected to finance future equipment orders, also at 85%. ‘We are excited about our partnership with ZTE and its ability to fully deliver broadband equipment and end-to-end network solutions,’ said ChinaTel’s CEO George Alvarez. ‘ZTE has the foresight to create equipment solutions that will migrate from the current WiMAX 802.16e protocol to 802.16m, to TD-LTE, or dual band 16m and LTE.
The first phase of deployment, with initial geographic coverage of seven cities, is scheduled to be completed by May 2011. Perusat will expand capacity in each market as subscriber demand dictates.