Hubei Mobile Communications Co., Ltd has selected Ericsson to provide equipment and telecom services for its GSM network expansion in the central Chinese province of Hubei, with an expansion contract worth US$27 million.

Under the contract, Ericsson will supply Hubei Mobile with infrastructure equipment MSC AXE810 and telecom services, including turnkey deployment and integration, network performance improvement and technical support. According to the contract, Ericsson will help Hubei Mobile to upgrade part of its GSM network. The expansion will significantly increase the capacity of Hubei Mobile's GSM network, as well as enable Hubei Mobile to provide more high-speed data applications and services. It also paves the way for smooth migration to 3G in the future. The expansion will begin in August 2004 and will be completed by February 2005.