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Nokia and ScottishTelecom sign frame agreement for access solutions
March 12, 1998

Nokia and ScottishTelecom, the wholly owned telecommunications arm of ScottishPower, have signed a frame agreement. This agreement covers the supply of all possible access network telecommunications infrastructure hardware and software solutions, which can be in the form of equipment, customer services and customer development.


"We are well on the way to securing 10% of the Scottish market," explains Peter Black, Network Services Director. He continues, "Such aggressive growth requires responsiveness to our customers by our suppliers. This contract enables us to place orders with Nokia for equipment and services, including third party ancillary equipment, as and when required. We don't need to enter into new lengthy discussions and price negotiations with a range of companies. From our point of view, it enables us to be more efficient and cost-effective which means we can be more responsive to the needs of our customers."

"Such a supply agreement is not commonplace, yet it has many advantages," says Peter Kühne, Managing Director, Nokia Telecommunications Ltd. "By working closely with ScottishTelecom we have been able to fully understand their business plan and thus develop solutions and services that are needed both now and in the future. This approach means we can supply turnkey solutions that are more tailored and cost-competitive because of the shared knowledge between us."

The contract formalises a business agreement that has been running for the past year. It indicates ScottishTelecom's intention to expand its network and position itself as a fully integrated telecommunications operator, offering fixed and mobile services. The Glasgow-based group first launched its services in November 1994, breaking even after only two years of operation. With 4.7% of the GBP 2 billion Scottish market, it has over 250 blue chip customers. The supply agreement demonstrates the level of commitment of both organisations to forward a relationship that shares business strategy and encourages mutual support to expand all areas of ScottishTelecom's business using Nokia solutions.

ScottishTelecom is a wholly-owned subsidiary of ScottishPower, created in 1994. It uses advanced technology to deliver telephone services to the corporate and residential sector. Developed by ScottishPower as part of its multi-utility strategy, ScottishTelecom is based on 60 years of experience in designing, building and running its own telecommunications network.

Nokia Telecommunications develops and manufactures infrastructure equipment and systems for cellular and fixed networks. Nokia's access solutions provide network operators with access and regional network solutions to connect end-users to network services. Nokia has already supplied access solutions to over forty countries worldwide. Nokia's long experience in transmission has been instrumental in developing the ability to design and implement integrated cost-efficient solutions.

Further information:

Communications Department,
Nokia Telecommunications
Tel. (Int.) + 358 9 5113 8193
Fax (Int.) + 358 9 5113 8199





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