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Huawei awarded HUF 13bn project without tender

September 10, 2015

Chinese multinational networking and telecommunications equipment and services company Huawei has been awarded, without a public procurement tender, the job of setting up Hungary’s fourth mobile network in the 450 MHz frequency band, a nationwide 4G Long Term Evolution (LTE) network, which will primarily connect devices used by government agencies.

Hungarian daily newspaper Népszabadság has learned on Thursday that the Chinese company has received the assignment without a public procurement tender, because the company placing the order, MVM Net, the subsidiary of state-owned utility firm MVM Group, is not bound by law to invite such tender, regardless of how much it spends on the project, reports.

The contract may signed within days. The network already offers 30% penetration in the country. It has been through several successful testing phases and it is used for a number of government applications in test mode. Total network readiness, i.e. 95% penetration, is expected to be reached in March 2016.


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