A MOBILE phone technology firm has hailed the bright future of its North-East base amid warnings of setbacks caused by volatility in Russia.

Filtronic, at NetPark, in Sedgefield, County Durham, says unrest in the eastern European country has hampered the group’s broadband division.

Bosses said a number of products it makes and supplies to customers are eventually sold to Russian operators, which has led to uncertainty as the area continues to be weighed down by tension.

However, the firm, which makes high performance e-band transceivers allowing phone users to stream videos of live sporting events and YouTube clips, told the Northern Echo its North-East site will remain strong.

The company added that it expects core market focus upon Europe, North America and Asia to eventually outweigh the problems in Russia.

Alan Needle, chief executive, said: “There is a certain degree of uncertainty because of the problems.

“Some of the products that we make and supply end up in Russia and companies are looking at what they are going to buy and not buy.

“For example, we had someone trying to cancel an order only for them the very next day to say they didn’t want to.

“We have had a bit of a setback but, in the long-term, the company up in Sedgefield has a bright future.”

The firm added its wireless division, known for supplying interference filters to stop mobile phones affecting television signals, is performing better, with new equipment expected to go into production soon.

Earlier this year, Filtronic, which employs about 80 workers in the region, revealed it hoped to create more North-East jobs as it targets broadband markets.

Bosses said new projects to boost data supply could lead to expansion at Sedgefield and across the company as a whole, with mobile phone data traffic expected to increase by 45 per cent up to 2019.

Mr Needle added: “If we can do what we want to do, there is an opportunity to take people on.

“One of those areas is the e-band transceivers for the smartphones, which will come in as more and more people are using those phones and therefore more data.”

In January, The Northern Echo exclusively revealed Filtronic was staying in the North-East after fears were raised over its future when RFMD microelectronics left its plant in Newton Aycliffe, County Durham, where Filtronic had a base.