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Telenor & Tele2 to Build Joint 4G (LTE) Network

Telenor Sweden and Tele2 Sweden have announced an agreement to build a joint 4G(LTE) network in Sweden. The agreement includes the formation of a joint venture for network construction and sharing of spectrum for mobile communication. The roll-out of what will be Sweden’s most extensive 4G network will start this year with the intent of launching high-speed mobile broadband services based on LTE-technology in the end of 2010, while at the same time improving voice coverage (GSM) for all customers.

“This is where the race to 4G begins. By building a joint network and sharing our spectrum we create a whole new playing field on the Swedish market, placing ourselves in pool position to provide high-speed mobile broadband with the best coverage and quality. Sharing this investment ensures cost-efficiency and enables a solid market position in the long run for Telenor in Sweden,” said Lars-Åke Norling, CEO Telenor Sweden.

“Through this partnership, Telenor will be in the forefront of 4G worldwide. Telenor also holds a 4G licence in Norway, and has already started testing in Norway. Telenor has a clear ambition of taking a leading mobile broadband position in Scandinavia”, said Morten Karlsen Sørby, Executive Vice President and head of Telenor Nordic.

Telenor and Tele2 will be equal partners in the joint venture. The agreement also comprises spectrum sharing in the 900MHz and 2600MHz frequency bands, creating superior conditions for a nation-wide 4G network in Sweden.

The launch of high-speed mobile broadband services based on LTE-technology is expected in the end of 2010, or when mobile devices (modems) become available on the market.

In 2013, the operators expect 99 percent of the Swedish population to have access to mobile broadband at speeds of up to 80 Mbit/s in rural areas and up to 150 Mbit/s in urban areas. The roll-out includes an extension of the GSM network by 30-50 percent, resulting in better indoor and outdoor coverage on mobile voice communication.

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