TORONTO, Sept. 29 /CNW/ - Ericsson Canada (Ericsson) and Rogers Cantel Inc. (Rogers Cantel) today announced an exclusive, three year agreement, valued at more than $500 million, that positions Rogers Cantel to build Canada's first 3rd Generation network. This partnership will accelerate the roll out of Cantel(R) AT&T(TM) wireless data services and increase the capacity of the Cantel AT&T network to prepare for future customer demand.

``Ericsson and Rogers Cantel have shared a strategic partnership for almost 15 years,'' said Brian Barry, President and CEO, Ericsson Communications Canada. ``I am extremely pleased to announce this new agreement that will see the partnership continue and expand into the next millennium.''

``Rogers Cantel is committed to leading Canada in the development of next generation wireless services for our customers,'' said Charles Hoffman, President and CEO, Rogers Cantel Inc. ``We have renewed our partnership with Ericsson and strengthened our commitment to work with them to maximize the value of the funds we've allocated to our 2000-2002 network build.''

Ericsson's main TDMA Research and Development facility and Technical Assistance Centre in Montreal provides Rogers Cantel and Ericsson with support for the North American development of all 3rd Generation wireless communications.

``This renewed agreement with Rogers Cantel brings our two companies together as true partners in developing their 3rd generation network,'' said Vu Nguyen, General Manager, Ericsson. ``I look forward to working with Rogers Cantel in planning and delivering a world-class platform for new products and services and a wide range of emerging wireless technologies such as TDMA Pro, GPRS, and EDGE.''

``Together, Ericsson and Rogers Cantel have built Canada's largest digital wireless network,'' said Bob Berner, Senior Vice President and Chief Technology Officer, Rogers Cantel Inc. ``Our new agreement will strengthen that partnership, and allow us to improve and expand the level and types of services we can offer to Canadians.''

Rogers Cantel Inc. is Canada's largest wireless provider serving over two million customers from coast to coast. Marketed under the co-brand Cantel(R) AT&T(TM), Rogers Cantel provides a complete range of wireless solutions including cellular, paging and Interactive Messaging, Digital PCS and wireless data services. Rogers Cantel Inc. is wholly owned and operated by Rogers Cantel Mobile Communications Inc., (TSE: RCM.B; NYSE:RCN). Rogers Cantel Mobile Communications Inc. is 51% owned by Rogers Communications Inc. and 33.3% owned jointly by AT&T Corp. and British Telecommunications plc.

Ericsson is the leading provider in the new telecoms world, with communications solutions that combine telecom and datacom technologies with the freedom of mobility for the user. With more than 100,000 employees in 140 countries, Ericsson simplifies communications for its customers - network operators, service providers, enterprises and consumers - the world over. Please visit Ericsson's Press Room at: http://www.ericsson.se/pressroom

(R) Rogers Cantel Inc. (TM) AT&T CORP. Used under License.

For further information: Bill Gajda, Director, Corporate Communications, Ericsson Communications Canada, PH: (905) 629-6838; Heather Armstrong, Assistant Vice President, Communications, Rogers Cantel Inc., PH: (416) 935-6379