Zain Iraq and Ericsson have renewed their network and IT operation and optimization managed services agreement for 3 years.
Ericsson will continue to optimize, transform and manage network and IT operations for the nationwide 3G mobile network of Zain in Iraq, spanning over 4,200 sites across the country.
The managed services agreement empowers Zain to carry out network expansion and offer better voice and data services in line with customer demands, especially that of the corporate sector.
Zain can deliver best quality of service and experience to its 11.2 million customers using managed services capabilities of Ericsson, after the agreement.
Zain will also witness a reduction in operating costs (Opex) and can offer improved data service quality and availability, to meet the demand for mobile broadband in the country.
Zain will also focus more on its core business activities like customer relationship management and offer shorter time-to-market for the delivery of new services and technologies.
“Through this agreement, Zain Iraq will be better positioned to support the evolution and growth of the telecommunication industry in the country and ensure that all Iraqis receive urgently-needed quality mobile telecommunication services,” said Scott Gegenheimer, chief executive officer, Zain Group.
Zain has reported 2 percent drop in revenue to KWD552 million or $1.83 billion and 14 percent increase in quarterly net income to KD45 million or $148 million in the first half of 2016.
The company is focusing on leveraging 4G networks, with Zain Sudan having launched LTE services recently, to become the sixth Zain operation to introduce it.
Zain has a subscriber base of 45.9 million at the end of the first quarter of 2016, with plans to carry out tests on LTE-Advanced Pro Technology or 4.5G technology by some vendors, across its regional footprint.
Ericsson recently experienced a Q2 revenue fall of 11 percent to SEK 54.1 billion or $6.31 billion, with a 26 percent drop in profit to SEK 1.6 billion.
Ericsson has entered into more than 30 deals with Cisco, which will reportedly result in a major sales increment by 2018.
Vina Krishnan
editor@telecomlead.com