(Yicai Global) Sept. 11 -- Chinese engineering services company Sunsea Telecommunications Co. [SHE:002313] has embarked on a strategic partnership to develop industry solutions for Internet of Things (IoT) applications and next-generation network functions virtualization (NFV) technology.

The Shenzhen-based firm said that it entered into a two-year cooperation framework agreement with Hewlett-Packard (China) Co. today.

Hewlett-Packard (China) was established by Hewlett Packard Enterprise Sino Investments Co. as a wholly-owned subsidiary with an investment of USD16 million.

It will work on product supply, project management and framework design. The parties will implement the scheme based on the original equipment manufacturer (OEM), joint operation and profit sharing, and proxy models, Sunsea said.

The object of the tie-up is to provide common clients with packaged IoT solutions through collaborative efforts, combining the companies' strengths. The deal will help Sunsea facilitate the development of multi-industry IoT solutions and the implementation of the Cloud+Terminal IoT strategy.

Through cooperation with Hewlett-Packard (China), Sunsea said it will be able to participate in NFV network construction, and migrate business operations to cloud platforms. The deal represents an important step in the implementation of the cloud network strategy.

Hewlett-Packard (China) owns core next-generation NFV network technology. All major telecommunication carriers worldwide have started building network cloud systems. China's three leading carriers have also published their future network architecture designs, and stepped up NFV commercialization efforts, Sunsea said.