Malaysia’s Axiata signed a memorandum of understanding with China’s Huawei Technologies whereby the two will jointly develop new technologies as well streamline the process of procuring equipment from the Chinese vendor.

The contract is spread over two years. Huawei will also assist the operator in arranging financing options to procure the equipment.

Axiata is Malaysia’s second ranked operator behind Maxis.

“The Axiata-Huawei strategic cooperation will also have the added benefit of realising business efficiencies and competitive advantage through cashflow improvement, risk sharing and timely purchasing. In addition, the collaboration with Huawei, particularly on the financing facilities, would enable Axiata to gain a competitive advantage from having access to financing facilities of lower financing cost, innovative financing structures and flexible financing tenure,” said  a statement from Axiata.