Europe : Partner Communications Company has selected Nortel Networks in a frame agreement with an estimated value of US$93 million to supply what is expected to be Israel's first third generation (3G) UMTS wireless network.

Inset is Pascal Debon, president, Wireless Networks, Nortel Networks quoted below.

Upon deployment, the network is expected to significantly boost voice and data capacity, while positioning Partner to offer advanced new services such as Person to Person Video Telephony that can change the way people communicate and drive new sources of revenue for Partner.

"We are very pleased to announce the selection of Nortel Networks as our vendor to elevate Partner Communications to a new era of 3G mobile services," said Amikam Cohen, chief executive officer, Partner Communications. "We are convinced that Nortel Networks experience and track record in wideband radio technology and packet core networking make them the best choice to partner with us, bringing to the exciting Israeli cellular market a variety of services which will open new horizons to the Israeli cellular customer."

Initial Partner UMTS deployment will begin by year-end 2003 in the Greater Tel Aviv area, and will be followed by deployments to enable national coverage across Israel.

"We continue to see progress in the rollout of UMTS, and this deployment with Partner is another big step in our continued strategy to make 3G a reality," said Pascal Debon, president, Wireless Networks, Nortel Networks. "Our experience in deploying and tuning large-scale code division-based networks and our core data networking expertise give us an advantage in helping customers like Partner launch their UMTS networks quickly and efficiently."

"This is a very important milestone for Nortel Networks, for Partner and for the advanced cellular market in Israel," said Sorin Lupu, managing director, Nortel Networks Israel. "The Israeli race for wireless broadband services has begun, and we are very proud to have been chosen as Partner's UMTS vendor. This is a highly-strategic project for Nortel Networks Israel, and for Nortel Networks globally considering it represents our first win with the Hutchison operator group."

Today's announcement builds on Nortel Networks 25-year history in Israel. Nortel Networks is a leading provider of telecommunications equipment in Israel.

The Israeli UMTS deployment also continues Nortel Networks market momentum in 3G Wireless Data Networks. Nortel Networks is deploying UMTS with top operators across Europe, and was recently selected by AT&T Wireless Services to deploy what is expected to be the first commercial UMTS network in North America.