TDC, Denmark’s largest telco in terms of subscribers, has granted a DKK4 billion (USD725.73 million) contract to China-based equipment vendor Huawei Technologies. Under the terms set by the agreement, Huawei will become the sole equipment supplier for TDC’s nationwide mobile network from 1 March 2014, while also providing a full range managed services. The contract is expected to result in substantial improvement in TDC’s 3G/4G coverage, as Huawei is also required to replace all of TDC’s base transceiver stations (BTS) over the next six years. TDC CEO Carsten Dilling said: ‘The Danes will soon feel the effects of the agreement in the form of better coverage and higher speeds of mobile internet. The agreement is so ambitious that we expect to meet our obligations in good time before the deadline [outlined] in our 4G licence.’
According to TeleGeography’s GlobalComms Database, TDC granted a similar supply/management contract to Ericsson in November 2010; the vendor was responsible for a complete 4G/LTE solution – including radio access and core network equipment – as well as managed services. However, in June 2013 TDC announced its plans to extend the footprint of its LTE network to 99.8% of the population (including 207 of the most scarcely populated regions in Denmark) by the end of 2015, and indicated that it was on the lookout for technical equipment suppliers for its network expansion. TDC’s CEO of operations Martin Lippert said at the time that the company was advised by the relevant Danish authorities on the matter, and its final choice would be based on an overall assessment of safety, quality, price and reliability of each company.