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07 Feb 2006

DiGi Telecommunications Sdn Bhd in Malaysia announced that it has awarded Siemens Communications a letter of intent to be the equipment and service provider for the initial phase of its nationwide 3G network. The frame contract covers the upgrade of DiGi's existing network with W-CDMA and HSDPA, as well as maintenance, operation and management of its 3G network.

DiGi announced earlier a capital expenditure allocation of between 170 and 200 million euros for 2006, which includes upgrading its existing network and startup of the 3G network. "This letter of intent is one of the first steps in our preparation for 3G. Today, we are providing a very wide range of content services. We want to be able to do more and significantly expand Malaysia's local content community", said Morten Lundal, CEO of DiGi Telecommunications Sdn. Bhd.

"We are very pleased to have been selected by an innovative provider like DiGi Telecommunications. Apart from the network Siemens will also be supporting DiGi with interesting applications such as mobile gaming, while enhancing existing applications with location and presence technology", said Christoph Caselitz, President of Mobile Networks at Siemens Communications.

Siemens is one of the leading providers of 3G technology. According to the Multimedia Research Institute in Tokyo, over 90% of the world's 3G subscribers are communicating with 3G network technology from Siemens/NEC.