The leading Bangladeshi operator by subscriber numbers, Grameenphone, will extend the capacity of its all-IP core network. The Telenor Group company says the decision to add capacity comes about as a result of “tremendous” growth in subscribers over the past year and the resulting increase in traffic over the network.

Informa Telecoms & Media estimates that Grameenphone’s subscriber base has swelled from a little over 15 million in September 2007 to nearly 22 million September 2008. Grameenphone’s nearest rival is Sheba Telecom with 10.5 million subscribers according to ITM. Penetration in Bangladesh currently stands at 30.45 per cent.

The contract with Ericsson covers expansion and deployment of additional parts of the GSM core and radio access network. The Swedish infrastructure vendor will also provide related support services to Grameenphone throughout the contract lifecycle.

Ericsson will provide products to Grameenphone for all parts of its GSM network and the network is future-proof for possible upgrades to 3G and products like the new-generation Mobile Softswitch Solution (MSS) including Ericsson MSC Server Blade Cluster.

Grameenphone and Ericsson have been partners since the Bangladeshi operator was established in 1996.