Nokia Networks and China Mobile have announced a comprehensive framework agreement for software, services and mobile communications equipment valued at more than US$1 billion (€930 million).

The agreement was signed on October 29 by Li Huidi, executive vice president at China Mobile, and Hans-Juergen Bill, executive vice president at Nokia and also chairman of the board of directors of Nokia Networks GmbH & Co KG in Germany, in the presence of Chinese Premier Li Keqiang and German Chancellor Angela Merkel.

Under the agreement, Nokia Networks provides its TD-LTE-Advanced technology and 2G/3G/4G core network solutions including Voice over LTE (VoLTE). Software and professional services, including network planning, implementation and care, will support China Mobile’s 4G network rollout during 2015 and beyond. The operator plans to deploy one million TD-LTE base stations by the end of the year to build the world’s largest TD-LTE network.

Nokia’s network infrastructure capabilities and technical expertise will also help China Mobile drive the evolution of China’s Internet of Things (IoT) ecosystem by offering connectivity for healthcare, connected cars and other IoT applications. In addition, Nokia Networks and China Mobile Research Institute (CMRI) signed a Memorandum of Understanding (MOU) on their strategic cooperation in the evolution and development of 5G.

Mike Wang, president of Greater China, Nokia Networks, said: “This major agreement with China Mobile marks another milestone in our more than 20 years of partnership in the area of telecommunications. Our agreement will further accelerate TD-LTE development in China and around the world. In addition, we are also helping China Mobile to support and promote the use of innovative IoT applications for areas as diverse as healthcare and connected cars.”

Nokia’s cooperation with China Mobile dates back to 1994 when the company supported China Mobile for China’s first GSM (2G) call in Beijing. As a key member of the 3rd Generation Partnership Project (3GPP) organisation, Nokia Networks helped TD-LTE become a global standard.

As of September 2015, Nokia Networks has more than 50 commercial references on six continents for the delivery of TD-LTE radio technology.