New operating JV to bring TD-LTE to China

A TD-LTE network will soon be launching in China following the announcement of a new joint venture. Wireless broadband specialist VelaTel has entered into an agreement with Next Generation Special Network Communication Technology (NGSN) to form a jointly owned Chinese operating firm. Under VelaTel’s control, the new firm will enter into an exclusive services contract with NGSN to deliver the information services and a 4G network in China.

The TD-LTE network will use equipment provided by ZTE, with VelaTel providing all engineering and network management services. The contract is expected to be finalised by the end of 2011.

The first phase of the network will cover the Heilongjiang Province in northeast China, with a population of approximately 39 million, and will utilize NGSN’s existing value added services licence to deliver personalised navigation and location based services (LBS) including GPS, mobile resource management solutions that allow enterprises to monitor and manage mobile workforces and assets. The operating company will distribute its services to consumers, wireless carriers, enterprises and automobile manufacturers, and original equipment manufacturers. The network will be expanded to other regions as well as by offering 4G network services in China.

NGSN’s WBA Division GM Lu Bin noted: “China is seeing unprecedented demand for vertical M2M (machine to machine) solutions. In addition to location based services, applications include home automation, energy saving/environmental protection, industrial automation, health care, precision agriculture, public security and video surveillance.”

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