WiMax Network for 30 Russian Cities

GlobeTel Communications says that its GlobeTel Wireless subsidiary has entered into an agreement with the Moscow based, Internafta to install WiMax networks in 30 cities throughout the Russian Federation. GlobeTel Wireless will both manage the completed network and will retain an ongoing 50% shareholding in the operations of the network. GlobeTel plans to roll out the network in 3 stages, comprising 10 cities each, over the next 27 months.

Over the past six months, GlobeTel has had a number of key meetings with officials at various levels of the Russian Government, including senior members of the Russian Parliament (the "Duma") and various branches of the Russian telecommunications and technology establishment. In early October, following months of preliminary discussions, GlobeTel CEO Timothy Huff - along with GlobeTel Wireless President, Uli Altvater and Sanswire President Bob Jones - demonstrated a working version of the HotZone 4010 equipment that will form the backbone of the new 30-city network. At that demonstration, the HotZone 4010 system successfully provided internet and DECT phone connectivity inside the Duma Building, quickly establishing its capabilities and ease of use.

Uli Altvater, President of GlobeTel Wireless stated: "This is a very large undertaking that will utilize the skills or more than 1,000 people in Russia, Europe and the United States. This transaction will catapult GlobeTel to a position as one of the top two suppliers and operators of wireless networks in the world."

The contract is worth US$600 million."

Posted to the site on 2nd January 2006