Siemens Expands GSM Mobile Networks for China Mobile in Shanghai and Anhui - Order Worth 36 Million US Dollars

MUNICH, Germany--()--May 13, 2003--The Siemens Information and Communication Mobile Group (Siemens mobile) is to expand the GSM networks for the leading Chinese mobile provider China Mobile Communications Corporate Ltd. (China Mobile) in Shanghai and in the Chinese province of Anhui. The expansion projects now agreed between China Mobile and Siemens Shanghai Mobile Communications Ltd. (SSMC) are worth a total of 36 million US dollars and should be completed in June 2003.

The project with the China Mobile subsidiary Anhui Mobile is the seventh phase of the network expansion in the Anhui province. Within the scope of the project, Siemens is supplying and installing new GSM 900 network components such as transmit and receive stations (base stations) of the type BS240XL, which will increase the network capacity and prepare it for the installation of third generation (3G) mobile infrastructure. Following this expansion, over 3.4 million subscribers in 17 regions overall in the Anhui province will be able to make calls via GSM. Siemens is the sole provider of GSM 900 technology for Anhui Mobile.

In Shanghai, Siemens is upgrading Shanghai Mobile's GSM network primarily with software updates for the base stations of the type BR 6.0. These will increase the capacity and availability of the network and allow Shanghai Mobile to offer its customers new mobile data services.

Siemens has been one of the main providers of mobile network technology for China Mobile since 1995. With around 123 million customers, China Mobile is the largest GSM mobile operator in the world.

The joint venture Siemens Shanghai Mobile Communications Ltd. (SSMC) is producing Siemens mobile systems for China. Since its foundation in 1993, the company has been developing, producing, and marketing GSM base stations and switching technology as well as mobile telephones. Siemens holds a 60 percent share in SSMC, Shanghai Video and Audio Corporation 26 percent; Shanghai Mobile Communications Ltd. 10 percent, First Research Institute of the Ministry of Post and Telecommunication 4 percent. SSMC has established over 34 GSM networks across China for China Mobile and China Unicom in 26 provinces and municipalities.

More than 820 million users are making GSM the world's most successful mobile telephony standard. With currently more than 180 international customers in over 90 countries, Siemens mobile is the number three system supplier for GSM mobile networks and is the market leader as a supplier for prepaid technology. The Group also holds a top ranking in the area of GPRS and UMTS. Thanks to this positive development, Siemens mobile has done very well in a very difficult market environment.

The Siemens Information and Communication Mobile Group (Siemens mobile) offers the complete range of mobile solutions including mobile devices, infrastructure and applications. Devices include mobile phones, wireless modules, mobile organizers and cordless phones as well as products for wireless home networks. The infrastructure portfolio includes GSM, GPRS and 3G mobile network technologies from base stations and switching systems to intelligent networks, e.g. for prepaid services. Mobile Applications cover end-to-end solutions for Messaging, Location Based Services or Mobile Payment. For fiscal 2002 (September 30), Siemens mobile recorded sales of EUR 11 billion and employed approximately 28.600 people worldwide.

You can access further information about Siemens IC Mobile on the Internet at

http://www.siemens-mobile.com

You can access press releases, photographs and further information on the internet at:

http://www.siemens-mobile.com/press

Contacts

Siemens AG
Corporate Communications
Press Office
Information and Communication Mobile
Networks
Christian Hoenicke
Tel.: +49-89 722-53910; Fax: -44780
E-mail: christian.hoenicke@siemens.com

Contacts

Siemens AG
Corporate Communications
Press Office
Information and Communication Mobile
Networks
Christian Hoenicke
Tel.: +49-89 722-53910; Fax: -44780
E-mail: christian.hoenicke@siemens.com