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MetroPCS contracts Lucent for $500M in network expansions

Lucent Technologies Inc. and MetroPCS Communications Inc. announced a three-year agreement valued at up to $500 million to provide MetroPCS with third-generation CDMA2000 equipment for new and existing markets across the United States.

MetroPCS said it will deploy Lucent’s mobile networking solutions to build out new markets in Dallas, Detroit and Tampa/Sarasota, Fla. The Lucent solutions will be deployed to increase capacity and coverage in the Miami; San Francisco; Atlanta; Sacramento, Calif.; and Tampa markets.

The agreement includes Lucent’s CDMA2000 1x and 1x EV-DO technology, which provides new mobile high-speed data services such as high-quality video clips of news, sports and entertainment events and access to applications stored behind corporate firewalls including e-mail and intranets at speeds of up to 2.4 megabits per second.

Lucent Worldwide Services will provide maintenance and professional services including network optimization, design and engineering.

“MetroPCS continues to add subscribers interested in high-quality service for one low monthly fee. This agreement provides MetroPCS with the evolution path we need to maximize voice capacity and simultaneously deliver robust mobile data applications to our subscribers,” said Roger Linquist, president and chief executive of MetroPCS. “As our exclusive infrastructure vendor for the past four years, Lucent has been a valued partner since the days of our initial network launch. We look forward to continuing that relationship and for Lucent to provide us with the technology and solutions we need to deliver the cost-effective mobile service and higher-quality user experience our subscribers have come to expect.”

Lucent said it will supply its Flexant Packet Switch, which lays the foundation for MetroPCS to introduce Voice over Internet Protocol services, and Flexant CDMA2000 base stations, which support MetroPCS’ need for high-capacity and high-performance products that enable them to offer “all-you-can-eat” calling plans. Lucent also said it will provide MetroPCS with key elements of its applications solutions portfolio.

“MetroPCS has depended on Lucent as its exclusive infrastructure supplier since 2001 as it has continued to grow and evolve its wireless network. This agreement further strengthens our relationship and enables MetroPCS to deliver new, 3G mobile voice and data services to its customers over both 3G CDMA2000 1X and 1xEV-DO networks,” said Steve Marino, vice president of sales for Lucent. “It enables Metro PCS to grow its existing markets, and we look forward to supporting MetroPCS as it builds new networks in recently acquired markets.”

MetroPCS offers wireless service in Miami, Atlanta, San Francisco and Sacramento, Calif., and has recently garnered numerous spectrum licenses covering parts of California and Florida through private deals and the recent Federal Communications Commission Auction 58.

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