Sun Cellular awards P1.2-B expansion contract to Alcatel

A booming subscriber base has impelled Gokongwei-owned Sun Cellular to take an aggressive stance in expanding its network capacity through an expansion contract it recently awarded to Alcatel.

The 18-million Euro, roughly P1.2 billion, deal is expected to expand the GSM/GPRS mobile network capacity of the Sun Cellular, the mobile phone brand of Digitel Mobile Philippines.

In a statement released by Paris-based Alcatel, the contract covers the expansion of the network in Metro Manila as well as in Luzon and Cebu.

"Upon completion of the project in October 2005, Sun Cellular will benefit from additional capacity to accommodate as many as three million subscribers, a substantial increase over the number of customers it can support today," the statement said.

Under the deal, Alcatel will supply and install its Evolium GSM/GPRS and EDGE-ready solution, including mobile switching and solutions. Evolium is the mobile technology-focused joint venture company of Alcatel and Japan’s Fujitsu.

In addition, the statement said Alcatel is providing Sun Cellular with its new generation Home Location Register (ngHLR), a key element for future migration to a mobile Next Generation Network (mobile NGN) that supports advanced mobile services while reducing operation expenses.

"Given the subscriber growth we project and the demands of our customers for a quality service experience, we require a mobile network solution that is growable and delivers a consistently high level of performance," said Charles Lim, chief executive officer of Digitel Mobile Philippines Inc.

Alcatel’s partnering relationship with Sun Cellular dates back to 2001. Alcatel provided a turnkey solution to build the operator’s GSM/GPRS 1800 MHz network through phases of implementation spanning the past three years. —Melvin G. Calimag