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AXIS Appoints Huawei for Full Service Network Expansion

Huawei Technologies Co Ltd. ("Huawei"), a leader in providing next generation telecommunication solutions for the operators around the world, announced that it has been chosen by AXIS, Indonesia' s newest GSM and 3G operator, as a key partner in rolling out its full service national network.

Under the agreement, Huawei will design, build, deploy and manage AXIS' 2G/3G network within the island of Java, Bali, Lombok, Kalimantan and Sulawesi for a period of 3 years to 2010. Specifically, Huawei would be responsible for close to 4,000 sites across the country, on GSM and 3G radio access, optical and microwave transmission. In addition, Huawei would also be providing a nationwide core network and intelligent network (IN) system to AXIS.

Since launch in February 2008, AXIS is now available in over 90 cities, covering around 25% of the population. With over 2000 base stations on air and over 1 million customers AXIS has achieved significant momentum. As part of its national network expansion programme, AXIS is planning to build over 8,000 base stations by end 2010 with national coverage achieved by 2009. AXIS is owned by Saudi Telecom Company (STC) of Saudi Arabia and Malaysia' s Maxis Communications.

Erik Aas, President Director and CEO AXIS said of the deal, "Huawei has been a strategic partner of AXIS from the beginning. I am pleased to announce that Huawei will continue to be part of AXIS' next phase of growth."

"We are proud to be a AXIS strategic partner. Huawei always focuses on addressing the challenges of its customers, in order to provide them with winning solutions for their businesses, and creating long-term relationships in the process. Indonesia represents a major growth market and Huawei would strive to help AXIS to realize its potential."said Ma Yue, President Director of PT Huawei Tech Investment.

For the network expansion project, AXIS will deploy on Huawei's innovative single RAN solution, including the unified Fourth Generation BTS platform which can support multi-mode radio access between GSM & 3G, as well as allowing future seamless evolution into HSPA+ and LTE. With a single RAN solution, network evolution is made easier for operators. Investment in various radio access networks is avoided and total cost of ownership (TCO), including site room construction, transmission costs as well as operation and maintenance (O&M) are reduced. Huawei's single RAN solution can swap and optimize the old GSM networks, improve their performance, decrease O&M costs, reduce their power consumption and carbon dioxide emissions and pave the way for the smooth evolution to future networks.

For the first half of 2008, Huawei has recorded over 100 percent growth in its UMTS and GSM transceivers (TRXs) shipments, as compared to the same period last year. In the GSM space, Huawei delivered 800,000 TRXs, more than the total number of shipments for the whole of 2007 in the first six months of 2008.
By the end of 2008Q2, Huawei has secured 111 UMTS/HSPA commercial contracts and continues to lead the market with 25 new contracts in first half of 2008.

About AXIS

AXIS launched in February 2008 and has an aggressive national network rollout being available already in East Java, West Java, Jabodetabek, Banten, Central Java, Bali, Lombok, Medan, Riau Islands and Riau Mainland.

With up to 80 base stations being built every week AXIS will achieve national coverage by 2009 – only its second year of operation. AXIS has allocated USD1 billion investment by the end of 2008 in order to provide a quality network for its customers.

AXIS is owned by Saudi Telecom Company (STC) the no. 1 GSM operator in Saudi Arabia and Maxis Communications the no. 1 GSM operator in Malaysia. Together these companies serve more than 45 million customers with operations in 9 countries. Detailed information about AXIS is available at www.axisworld.co.id

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