Spain's Telefonica has signed a strategic agreement with the United Arab Emirates largest telecoms carrier Etisalat which it hopes will cut costs, the telecoms giant said on July 21. The deal, which covers joint projects in procurement, research and development of new services and telephone traffic management, is similar to one struck by Telefonica with France's Bouygues recently.
"It will make both companies more efficient, stimulate innovation and generate savings," said both companies of the deal in a joint press note. Telefonica, whose business is focused on Europe and Latin America, and Etisalat, which operates mainly in Africa, Asia and the Middle East, have agreed not to compete in each others markets.