Ericsson Deploys GSM/EDGE Network for Digicel in Panama

Ericsson has signed a sole-supplier agreement with Digicel Group for the nationwide deployment of a GSM/EDGE network in Panama. The value of the contract was not disclosed, although it was recently reported that Digicel is planning to spend US$334 million on its Panama launch.

Under the agreement, Ericsson will be sole supplier of a GSM/EDGE network including radio access network, Mobile Softswitch Solution, mobile backhaul solution with optical and microwave products and Convergent Charging and Billing solution. Ericsson will also be responsible for network deployment, systems integration, and learning services. Deployment has already started.

Ericsson is now supplying mobile systems to Digicel in 24 countries across the Caribbean and Central America.

The Digicel Group owns 75% of Digicel Panama, with the remaining stake being held by the Bettsak Family, a local business group.

Digicel Central America won the competitive bid process for the GSM license in Panama in May, with Digicel bidding US$86 million.

There are currently two mobile operators in Panama, Cable and Wireless plus Telefonica. According to figures from the Mobile World database, the country ended Q1 '08 with an estimated 2.7 million subscribers - representing a population penetration level of nearly 83%.

Posted to the site on 2nd October 2008