Ericsson has signed a deal to manage application development and business support for Hutchinson Telecom's Hong Kong third-generation wireless operations.

The agreement announced Thursday is the first managed-services pact Ericsson has signed in China, although the Swedish tech company has five similar agreements with Hutchinson units in Europe and Australia.

Ericsson said Thursday the managed-services agreement will free up Hutchinson to focus more resources on bringing third-generation services to its Hong Kong market.

Hutchinson Hong Kong Chief Executive Officer Peter Wong said in a new release: "By entering into this managed services partnership with Ericsson for the management of our telecom applications development in Hong Kong, we can now focus even more on our business of providing a convergence of communications, entertainment and information services to our customers. The partnership also further strengthens our market leadership on the development of 3G services in Hong Kong."

Copyright 2006 by United Press International