COLOGNE, Germany--(BUSINESS WIRE)--IET Holding announces a contract between ZTE Germany GmbH and Cologne-based company IET Holding for the construction of a new optical network in Germany. As a result of German-Chinese inter-governmental consultations in late August, a contract has been signed with the aim of expanding broadband services to underserved areas. Also part of this five-yearlong infrastructure project is the upgrade of up to 1.5 million already-connected households to high-speed internet access with transfer rates of up to 200 Mbps. As the primary contractor, ZTE Germany GmbH will deliver the complete technology for this turnkey network and provide all services required for its construction.
The provision of broadband services for high-speed internet, telephony and IPTV in Germany has long been a crucial factor in terms of location, not only for industry and commerce but also for private households. However, the coverage of “white spots”, as required by the broadband initiative of the German federal government, has not yet been accomplished. Approximately one third of German households, quite a significant proportion, are still missing high-speed network access.
The construction agreement for a nationwide optical network, as signed by IET Holding and ZTE Germany GmbH, means that in particular underserved communities can now expect high-speed internet access in the near future. With a total value of US$1.3 billion, the infrastructure project is one of the largest of its kind in Europe. It will significantly increase the attractiveness of Germany as a business location whilst improving life and working conditions in rural areas. An essential part of the project will be the close collaboration with local authorities to jointly develop economically viable and flexible operating models.
It is expected that approximately 1,000 jobs in Germany will be created for the deployment and operation of the network. In addition, IET invites tender offers for network construction materials, equipment and services from third parties, which are expected to provide small and medium-sized German companies with the opportunity to participate in the new broadband project.
The new network incorporates fiber-to-the-home (FTTH), fiber-to the-building (FTTB), and fiber-to-the-curb (FTTC) solutions, offering high-speed broadband access of up to 200 Mbps for households, public institutions and companies as needed. Major mobile operators in Germany can also benefit from stable and secure optical connections when linking their mobile stations to the new network. Initially, the network expansion will target areas along an existing IET owned optical network in Germany. The delivery of backbone network technology for transfer rates of up to 100 Gbps is also part of the contract.
"Completing a rigorous tender process, ZTE proved to be the best partner for this project," added Michael Loth, CEO of IET Holding. "When choosing between the various suppliers we identified four aspects to focus on: the quality of the technical solutions, the pricing, the service offerings and the company's financial stability. In all respects, ZTE convinced us. We look forward to this new partnership, which certainly opens a new chapter in Sino-German economic relations."
"For years now, ZTE Germany GmbH has been actively supporting a number of operators in Germany in the expansion of their networks," said John Lee, CEO of ZTE Germany. " This new optical broadband project offers us the opportunity to reconfirm our reputation as industry leaders in optical networks. Based on the newest generation technology, we will build a stable turnkey network for IET - a huge infrastructure investment for Germany, the impact of which will spread far beyond the country's frontiers.."
About ZTE
ZTE is a publicly-listed global provider of telecommunications equipment and network solutions with the most comprehensive product range covering virtually every sector of the wireline, wireless, service and terminals markets. The company delivers innovative, custom-made products and services to over 500 operators in more than 140 countries, helping them to meet the changing needs of their customers while achieving continued revenue growth. ZTE’s 2010 revenue led the industry with a 21% increase to USD10.609 billion. ZTE commits 10 percent of its revenue to research and development and takes a leading role in a wide range of international bodies developing emerging telecoms standards. A company with sound corporate social responsibility (CSR) initiatives, ZTE is a member of the UN Global Compact. ZTE is China’s only listed telecom manufacturer, publicly traded on both the Hong Kong and Shenzhen Stock Exchanges (H share stock code: 0763.HK / A share stock code: 000063.SZ). For more information, please visit www.zte.com.cn.
About IET
IET Holding is a Germany-based company holding that has been providing broadband technologies, cable TV and the deployment and operation of broadband networks for 10 years. Historically, IET Holding specialized in planning, design, system integration, installation and deployment, as well as the maintenance and fault clearance of broadband networks. Thus, IET Holding was essentially involved in the upgrading of German cable networks to backward channel enabled high-speed networks, along with leading the construction of numerous optical and DSL networks. As service provider, system supplier and system integrator, today IET Holding mainly contributes to the installation and deployment of the TV and broadband networks of major operators. Having successfully supported other operators for 10 years, IET Holding expanded its portfolio in early 2012 to providing broadband access in underserved regions. In order to support this new business division, the German team has been complemented by an international high-level management team (about 20 employees) with roots in Europe`s largest cable operators. Many years of experience and know-how gained in the area of network expansion and associated services, combined with IET Holding´s recently added experience of network operations, results in a perfect proposition for the successfully operation of broadband networks in rural areas.
The privately owned and owner-managed company has its headquarters in Cologne, Germany, and employs 250 people. The management team consists of experienced German industry veterans and top executives coming from the European operator environment. www.iet-holding.de