31st August 2004 - Faroese Telecom Ltd., the leading operator on the Faroe Islands, has selected Ericsson as sole supplier for its GSM network upgrade with EDGE and GPRS. The upgrade will enable launch of new, highly advanced broadband data services for consumers and enterprises.

Under the agreement, Ericsson will deliver a complete solution for EDGE and GPRS including all hardware and software, an overall management system, support and implementation.

"It is a pleasure for Faroese Telecom to further extend the good relations and cooperation with Ericsson. With GPRS and EDGE introduced in the Faroese Telecom Mobile Network we will get in front of the pack", said Andras Róin, President and CEO at Faroese Telecom. "This upgrade is also of great value for the ambitious Faroese project, The Bitland Enterprise, aiming to make the Faroe Islands a leading country in the utilisation of new technology".

"We are proud that Faroese Telecom, a strong long-term business partner for Ericsson, is implementing the latest Ericsson EDGE solution into their future-proof mobile network. This significant step will enable competitive Mobile Internet services and lift the telecommunications infrastructure of the Faroe Islands to a top level", said Tom Lundberg, President at Ericsson Denmark. Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world. Read more at http://www.ericsson.com/press

About Faroese Telecom
Faroese Telecom is the incumbent telco of the Faroe Islands operating an extensive telecommunications network and offering a diverse range of fixed and mobile telecom services to both private and commercial customers. Faroese Telecom is the sole owner of Televarpið, one of the first companies in the world to launch a commercial DTT-service, as well as part-owner of the new FARICE undersea cable that links Iceland, the Faroe Islands and Scotland.

Focused on innovation and business development, Faroese Telecom is the leader in stimulating the ICT-development and progress of the Faroe Islands. Thus Faroese Telecom is a major player in the Bitland Enterprise.

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