China Telecommunications Corporation (China Telecom) has awarded Nortel Networks a contract to build new multi-service backbone networks in northern China.

Under terms of the contract, Nortel Networks will build a new network to cover 10 provinces in Northern China, including Beijing, Tianjin, Hebei, Henan, Shandong, Shanxi, Inner Mongolia, Liaoning, Jilin and Heilongjiang. Nortel will also deploy a new metro network in the capital of Beijing. Both networks are scheduled to be in operation by early next year and are expected to extend China Telecom's multi-service backbone capabilities to all of China's 31 provinces.

Nortel has also been selected by China Telecom to build a new ATM-based multi-service backbone in Shaanxi Province and to expand existing networks in Hubei Province and Shanghai municipality.

Since the restructuring of China's telecommunications industry in May 2002, China Telecom operates multi-service backbone networks in 21 provinces in Southern and Western China.

Based on Nortel Networks' Passport15000-VSS and Passport 7000 Multiservice Switch portfolios, the new deployments are expected to position China Telecom to deliver advanced IP VPN (Virtual Private Network), ATM, frame relay, IP (Internet Protocol), circuit emulation and other, end-to-end data services. Nortel Networks multi-service backbone solutions provide an integrated, high-speed platform that offers a seamless migration path to MPLS, contend company representatives.

"We are honored to be selected by China Telecom for these significant projects, which further reinforce our networking strengths and our leadership in building high-performance multi-service networks in China," asserts Yuan-Hao Lin, acting president, Nortel Networks China. "These projects will create a new market framework, allowing business users to adopt new data services and applications on a massive scale."

For more information about Nortel Networks (Ottawa, Ontario), visit the company's Web site at www.nortelnetworks.com.