China: Portugal’s SGC Telecom prepares to enter Asia through Chinese partnership

3 December 2007

Beijing, China, 3 Dec – Portuguese group SGC Telecom signed a cooperation agreement in Beijing with Chinese telecommunications giant ZTE for sale of a Portuguese platform in Asia, an SGC official said Friday.

“It is an agreement with both a commercial and technological component. The commercial component will make it possible to sell the SGC system in partnership with ZTE in the Asia-Pacific region,” the director general of the group’s carrier in Portugal, AR Telecom, Luis Miguel Martins told Lusa.

According to Miguel Martins, SGC began analyzing its entry – with ZTE – into the Chinese, Indian and Indonesian markets, which the company believes have great potential for growth.

The SGC group sells it TMAX digital wireless platform, which makes it possible to set up high capacity fixed-line telecommunications infrastructures to provide so-called triple-play integrated services: digital terrestrial television, broadband Internet and telephone.

According to the official from the Portuguese company, the agreement with ZTE is also interesting because it makes it possible to sell TMAX in emerging Asia-Pacific markets.

SGC’s relationship with ZTE, which has been established for two years, has thus been widened to include research and development (R&D) which, according to the Portuguese company, will increase the capacity of equipment production by identifying potential Chinese manufacturers.

“We are going to bring together ZTE’s production capacity in China to achieve more competitive prices, whilst also keeping R&D components in Spain, Portugal and the United States,” said Miguel Martins. (macauhub)