Ruias leading operator MTS selects Ericon for LTE networks development

MTS and Ericsson to jointly develop ICT infrastructure in four regions in Russia

LTE network will cover approximately half of Russia with Ericsson as MTSs main vendor.

Ericsson will supply hardware and services for radio access and core networks

Ericsson (NASDAQ: ERIC) and Russias leading mobile operator Mobile TeleSystems (MTS) announced a strategic cooperation to jointly develop ICT infrastructure for an LTE network rollout during the 17th St. Petersburg International Economic Forum (SPIEF 2013). Ericsson has been chosen to deploy the LTE network in four regions covering more than half of Russia, thus becoming MTSs main vendor. The launch of LTE by MTS will increase Russias connectivity and foster the development of the countrys economy.

Under the three-year agreement and starting in Q2, 2013, Ericsson will roll out LTE in the Siberian, Ural, Volga, and Southern Federal Districts of Russia. In the first stage of the project, Ericsson will supply no less than 10,000 new-generation products from the RBS 6000 series. We will also supply core network hardware and services in the same regions, as well as in the Northwestern Federal District. As part of the agreement, Ericsson and MTS will extend their cooperation to further develop 2G/3G networks in several regions in Russia.

Andrei Dubovskov, President and Chief Executive Officer (CEO) of MTS Group, says: We have already established a long-term strategic cooperation with Ericsson for network infrastructure development, and now Ericsson will support us to deploy next-generation services in major parts of Russia. The regions we have targeted for 4G service coverage are very important industrial hubs with key sectors driving the Russian economy: mining, engineering, processing and farming. There is a very high demand among consumers here - including corporate subscribers - for innovative services and mobile broadband. We intend to start building 4G networks in Russia in the near future to provide subscribers in approximately 15 regions in Russia with high-speed data services by the end of 2013.

Hans Vestberg, President and CEO of Ericsson, says: We are delighted to partner with MTS to build an LTE network covering half of Russia. We are committed to bringing a great LTE experience to MTS customers and having built more than 150 LTE networks globally, we see the huge effect on society that LTE has had; 4G drives innovation and service development, and we are thrilled to make it available for the Russian market together with MTS.

NOTES TO EDITORS

The MTS Group

Mobile TeleSystems (MTS) is the leading telecommunications group in Russia, Eastern Europe and Central Asia, offering mobile and fixed voice, broadband, pay TV, as well as content and entertainment services in one of the worlds fastest-growing regions. Altogether, the group services over 100 million mobile subscribers. MTS has been awarded GSM licenses in Russia, Ukraine, Turkmenistan, Armenia and Belarus. More information about the MTS Group can be found at www.mtsgsm.com

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Ericsson is a world-leading provider of communications technology and services. We are enabling the Networked Society with efficient real-time solutions that allow us all to study, work and live our lives more freely, in sustainable societies around the world.

Our offering comprises services, software and infrastructure within Information and Communications Technology for telecom operators and other industries. Today 40 percent of the worlds mobile traffic goes through Ericsson networks and we support customers networks servicing more than 2.5 billion subscriptions.

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