Ericsson and Serbian operator Telekom Serbia have signed a EUR 75 million contract for the provision of equipment and services for the expansion and upgrade of Telekom Serbia's GSM/GPRS/EDGE network.

Ericsson will supply Ericsson Mobile Softswitch solution and state-of-the-art radio network equipment and software as well as a suite of related services. Deliveries will start in June 2006, and the expansion and upgrade will make Telekom Serbia's network fully prepared for a cost-efficient and smooth introduction of 3G.

Drasko Petrovic, general manager Telekom Serbia, says: "Telekom Serbia always strives for offering best-in-class communications to its customers. This agreement with Ericsson, the world leader in telecommunication solutions, is yet another proof of our firm commitment to providing state-of the art solutions of modern mobile technology to our subscribers."

Bo Andersson, president, Ericsson Serbia & Montenegro, says: "We are proud that Telekom Serbia selected Ericsson for this important upgrade, which prepares the network for a smooth and cost-efficient transition to 3G and an all-IP network. This is the result of many years of successful cooperation between the two companies."