Motorola (MOT) has announced contracts worth US$394 Million with China Mobile (CHL) for GSM network expansion.

    The multiple contracts were signed in the first half of 2007 and approximately 60% of the revenue from these contracts was recognized in the first half of 2007.

    Motorola supplied CMCC with GSM infrastructure equipment such as its Horizon II base stations, in addition to value added services. The expanded networks are now successfully deployed across 16 provinces and municipalities.

    "Today's announcement clearly illustrates Motorola's continued success in the GSM market and its position as one of the leading equipment and services suppliers in China," said Ruey-Bin Kao, president of Motorola China. "Our goal is to continue to provide China Mobile with a state-of-the-art GSM network that enlarges its network coverage, maximizes investment and delivers the best services to its customers."

    Motorola and China Mobile have worked together for over 20 years. As of April 2007, China Mobile counted more than 330 million wireless subscribers on its nationwide network.