ZTE

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ZTE Corporation, officially Zhong Xing Telecommunication Equipment Company Limited, is a China-based telecommunications company that specializes in providing communications equipment and network solutions to its customers. As of 2006, it is the biggest provider of wireless equipment and the second-biggest manufacturer of telephone equipment in China.

ZTE is currently involved in a controversial contract, the National Broadband Network (NBN) deal, between the Chinese and the Philippine governments.

Contents

Profile

ZTE was established in Shenzhen, China in 1985, founded by state-owned companies under the Chinese government's Ministry of Aerospace Industry.

In 1996 ZTE ventured into multi-product development, offering wireless switching, transmission, access, videoconferencing and power supply systems. It has since expanded its service features and is now a global telecommunications equipment and network solutions provider.

ZTE was ranked 80th among the Top 100 IT Companies by BusinessWeek in 2005. It was also included in the 2006 list of China’s top 20 brands by the same magazine.

Services Offered

ZTE is involved in the manufacture and development of telecommunications equipment for fixed, mobile, data and optical networks, intelligent networks, next generation networks, and cellular phones. Its main products include switching, access, transmission, mobile communications, data communications, and videoconferencing. Products manufactured by the company can be found in over 40 countries.

Global Projects

ZTE has been part of many telecommunications projects around the world. It has conducted a public telephone project in Bangladesh, a wireless local network in Algeria, and various types of networks in China. The company is the network provider of the largest telecommunications service company in India. It was awarded a $66-million contract in Vietnam aiming to modernize signaling and communications for its railway system. Another project of ZTE is the development of a national transmission network in Tunisia. And recently, it has been contacted to build Portugal’s backbone transmission network. On top of all these, the company was also the service provider of the 2004 Olympic games in Greece. It has even formed global partnerships with communications giants like Ericsson, Alcatel, France Telecom and Portugal Telecom.

Controversies

ZTE is in the middle of the controversial NBN Deal in the Philippines after allegations of bribery between some of the company's top executives and high-ranking officials of the Philippine government. ZTE, however, has denied the allegations. The company is also involved in other controversies;

  • Residents of Mexico City accused their mayor of misallocating government funds, choosing the high-speed Internet deal of ZTE over water and electricity development projects.
  • ZTE was accused of graft and bribery in Ecuador and Ethiopia
  • The company was once accused of price dumping in Indonesia.
  • ZTE Liberia’s country manager and his co-conspirators were indicted for bribery.
  • The company is currently under investigation in Libya for submitting false claims of track record and technical skill.
  • An ongoing probe in Burma investigates reports of corruption involving ZTE and the country's minister of post and communication.

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