Showing posts with label Ericsson. Show all posts
Showing posts with label Ericsson. Show all posts

Monday, January 6, 2020

Mobily Saudi Arabia picks Ericsson for 5G

Mobily Saudi Arabia has selected Ericsson for 5G. An agreement signed at Mobily's Riyadh headquarters covers the deployment of Ericsson products and solutions spanning transport, core, charging and billing and radio access -  including 5G products from the Ericsson Radio System portfolio. Financial terms were not disclosed.

Mobily said the agreement will support its drive to empower Saudi Arabia’s government and private sectors towards digital transformation, as well as accelerating the deployment of digital services, and expanding Internet of Things (IoT) usage.

Thursday, December 19, 2019

Ericsson's Connected Vehicle Cloud to run on Microsoft Azure

Ericsson and Microsoft formed an alliance focused on connected vehicles. The goal is to help automakers to deploy and scale global vehicle services such as fleet management, over-the-air software updates and connected safety services much easier and faster while reducing costs.

Ericsson is building its Connected Vehicle Cloud on top of the Microsoft Connected Vehicle Platform that is running on the Microsoft Azure cloud platform.

Ericsson notes that its Connected Vehicle Cloud already connects more than 4 million vehicles across 180 countries worldwide - approximately 10 percent of the connected vehicle market. The platform is tailored to fit vehicle manufacturers’ growing demand for scalability and flexibility with the capability of supporting any connected vehicle service.

Ericsson’s Connected Vehicle Cloud offloads vehicle manufacturers' complexity of global 24/7 operations and lifecycle management related to connected vehicles with a guaranteed service-level agreement.

“The Ericsson and Microsoft partnership will deliver a comprehensive connected vehicle platform at scale to the market. Our integrated solutions will help automotive manufacturers accelerate their global connected vehicle solutions and offer a better experience for drivers and passengers,” says Åsa Tamsons, Senior Vice President and Head of Business Area Technologies & New Businesses.

“This is an exciting new offering with great benefits for the automotive industry, leveraging Ericsson and Microsoft’s technology leadership in connectivity and cloud.”

Wednesday, December 18, 2019

Telstra deploys Ericsson's container-based EPC core

Ericsson and Telstra successfully deployed a live cloud-native container-based Evolved Packet Core for 4G and 5G services -- an industry first and a significant milestone in network orchestration and automation, according to the companies..

Ericsson's cloud-native container-based Evolved Packet Core was deployed in Telstra’s production Network Functions Virtualization Infrastructure (NFVi). It is fully integrated into Telstra’s mobile core network and is carrying live 4G and 5G Non-Standalone (NSA) traffic.

Highlights of Telstra’s cloud-native Evolved Packet Core :

  • Ericsson Packet Core Controller and Ericsson Packet Core Gateway support 4G and 5G Non-standalone (NSA) control and user plane functions in both a centralized configuration and edge-breakout configurations.
  • Ericsson’s Packet Core Controller is deployed as a cloud-native container-based Mobility Management Entity (MME) in an existing MME pool.
  • Both the Ericsson Packet Core Controller and Packet Core gateway are designed from the ground up to be fully cloud-native container-based solutions. They run on Ericsson’s Cloud Container Distribution (CCD) that is part of Ericsson’s NFVI solution or on other Cloud Native Computing Foundation (CNCF) aligned distributions.
  • Ericsson CCD provides container management and orchestration for the latest Ericsson cloud native applications. CCD can be run on bare metal or within a Virtual Machine in an OpenStack deployment.

Emilio Romeo, Head of Ericsson Australia and New Zealand, says: “Telstra and Ericsson are leading the mobile industry with this first container-based cloud-native Evolved Packet Core in Telstra’s production environment and carrying live traffic. This is an important step towards fundamentally changing the way both companies deploy and operate mobile core networks. Core networks will become much more flexible and agile, allowing operators such as Telstra to quickly create and deploy compelling new services for their customers. This in turn helps operators build new revenues.”


Tuesday, December 17, 2019

Ericsson and Mediatek test 5G Voice over New Radio (VoNR)

Ericsson has collaborated with MediaTek on performing interoperability tests spanning Stand Alone New Radio (SA NR), 5G Core and IP Multimedia Subsystem (IMS) to ensure that voice support is enabled as service providers evolve their 4G networks to 5G. The two partners have also successfully tested Evolved Packet System (EPS) Fallback for situations where SA is not available.

The interoperability test, which was conducted at the Ericsson Lab in Kista in early December, involved the use of an end-to-end solution from Ericsson and Dimensity 1000 commercial chipset from MediaTek deployed on a 3.5GHz TDD band.

With Standalone New Radio (SA NR), a 5G-enabled device does not need to rely on 4G technology to make 5G voice (VoNR) calls. With the arrival of standalone NR access, voice and other communication services will need to be provided, requiring the 5G network to support native voice calling services for 5G smartphones. Using VoNR on SA architecture, service providers will be able to offer voice services on 5G-voice-capable devices as well as enhanced mobile broadband (eMBB) services to consumers and business users.

Hannes Ekström, Head of Product Line 5G RAN, Ericsson, says: “Although 5G is closely associated with superior data-transfer capabilities, voice services remain essential for mobile users. So 5G phones are expected to provide all the capabilities of 4G phones in addition to new 5G features and services. Ensuring continued voice services on 5G devices must therefore be addressed properly.

Sunday, December 8, 2019

Ericsson reaches settlement with US DoJ

Ericsson reached a settlement with the U.S. Department of Justice (DOJ) to resolve criminal charges related to accounting violations in five countries, including in Djibouti where there is also a charge of bribery.

Under the agreement,

  • Ericsson will pay a fine of US$520,650,432. 
  • Ericsson's Egyptian subsidiary has entered a guilty plea to the bribery charge in Djibouti.
  • Ericsson will resolve civil charges brought by the Securities and Exchange Commission (SEC) relating to allegations of violations of the bribery and accounting provisions.
  • In total, Ericsson will pay US$1.06 billion (SEK 10.1 b.).
  • Ericsson will engage an independent compliance monitor for a period of three years while the company continues to undertake significant reforms to strengthen its Ethics & Compliance program.

Ericsson noted that the penalties outlined above are fully covered by the SEK 11.5 b. provision taken in Q3 2019.

Ericsson makes US$1.23 billion provision for U.S. investigation

Ericsson made a provision of SEK 12 billion (US$1.23 billion) to resolve the ongoing investigation by U.S. authorities. The process to find a resolution is still ongoing, but Ericsson reckons it may face a monetary sanction of US$1 billion.

As previously disclosed, Ericsson has been co-operating voluntarily since 2013 with an investigation by the United States Securities and Exchange Commission (SEC) and, since 2015, with an investigation by the United States Department of Justice (DOJ) into Ericsson’s compliance with the U.S. Foreign Corrupt Practices Act (FCPA) and the process is still ongoing. The investigation covers a period ending Q1 2017 and revealed breaches of the Company’s Code of Business Ethics and the FCPA in six countries: China, Djibouti, Indonesia, Kuwait, Saudi Arabia and Vietnam.

The company previously communicated that the resolution of the investigations will result in material financial and other measures. While Ericsson cannot comment in detail on the ongoing process with the U.S. authorities, the Company can with current visibility now estimate the cost and thus make a provision, which will impact the third quarter 2019 results by SEK 12 b. The provision constitutes the Company’s current estimate of expenditure related to resolving the U.S. investigations, of which the combined monetary sanctions from SEC and DOJ is estimated at USD 1 b., and the remainder pertains to other costs related to resolving the investigation. The provision will be booked as Other Operating Expenses in the income statement of Segment Emerging Business and Other.

Börje Ekholm, President and CEO, says: ”Over the last two years we have operationally turned around our company and established a strong portfolio and competitive cost structure. With today’s announcement we confront another legacy issue and take the next step in resolving it. We have to recognize that the Company has failed in the past and I can assure you that we work hard every day to build a stronger Ericsson, where ethics and compliance are cornerstones in how we conduct business. Over the past two years, we have made significant investments in our ethics and compliance program including our investigative capabilities and have taken actions against employees who have transgressed our values and standards.”

Azercell and Ericsson to develop 5G in Azerbaijan

Azerbaijani communications service provider Azercell and Ericsson signed a three-year 5G Memorandum of Understanding (MoU) for the development of 5G in Azerbaijan.

Azercell and Ericsson have already delivered a test 5G network in the city center of the capital, Baku, and a pre-commercial 5G pilot zone in the popular Fountains Square area of downtown Baku.

The 2020-22 MoU will include the extension of the pilot zone, including 5G use cases, as well as the introduction of Internet of Things (IoT) technology in the mining industry, agriculture, manufacturing, housing and communal services.

Vahid Mursaliyev, President, Azercell Telecom LLC, says: “Together with Ericsson, Azercell has launched the first 5G pilot network in the country and this fact puts our company on a par with the world leaders of the mobile market. We believe that 5G along with being a major step forward for mobile internet connectivity, will also open new possibilities for enterprises and industries to deliver greater efficiencies, productivity and empower user experiences.”

Ericsson notes that it already has more than 75 commercial 5G agreements or contracts with unique communication service providers, of which 24 are live.

Monday, December 2, 2019

Ericsson tests 5G Spectrum Sharing with Swisscom and Telstra

Ericsson completed an industry-first data call using spectrum sharing on a 3GPP Frequency Division Duplex (FDD) band. The call connected Bern, Switzerland and Gold Coast, Australia, using Ericsson Spectrum Sharing deployed in Swisscom and Telstra’s commercial 5G networks at the respective sites.  Pre-commercial 5G smartphones from OPPO, powered by the Qualcomm Snapdragon X55 5G Modem-RF System, were used on both ends of the call. OPPO is the first 5G device manufacturer to implement Ericsson Spectrum Sharing in its smartphones. 

The data call success validates the support for Ericsson Spectrum Sharing across its 5G ecosystem, from chipsets to 5G devices, and communication service providers’ network products and solutions. The strengthening of the ecosystem is also a step towards the commercial introduction of Ericsson Spectrum Sharing.

Ericsson Spectrum Sharing, part of Ericsson Radio System, is a dynamic spectrum sharing solution based on the 3GPP standard with additional intelligent scheduler algorithms. This allows the deployment of both 4G and 5G in the same band through a software upgrade, and dynamically allocates spectrum based on user demand. The switch between 4G and 5G carriers happens within milliseconds, minimizing spectrum wastage and enabling best user performance.

Fredrik Jejdling, Executive Vice President and Head of Networks, Ericsson, says: “This industry-first highlights the value that Ericsson Spectrum Sharing has to communication service providers as they roll-out and ramp-up 5G. With this milestone achieved with our 5G ecosystem partners OPPO, Qualcomm Technologies, and customers Swisscom and Telstra, we’ve shown that our unique solution will not only enable service providers to re-use their 4G spectrum assets for 5G but that it will also support all 5G devices. It is the most economically feasible way to launch 5G on existing bands, enabling nationwide 5G coverage and helping make 5G accessible around the world.”

https://www.ericsson.com/en/press-releases/2019/12/ericsson-spectrum-sharing-milestone-connects-continents-5g-live-networks-and-5g-devices

Sunday, December 1, 2019

Orange renews managed services contract with Ericsson in 5 countries

Orange has renewed a managed services contract with Ericsson in five European countries.

Under the three-year contract, that can be extended to five years, Ericsson will provide a fully managed end-to-end operations service to include network operations, field support, and maintenance, as well as a spare parts management service for Orange's fixed-line access, 2G, 3G, 4G and future 5G access. Network performance, optimization and network expansion are optional components and delivered in some of the countries.

The deal covers Orange operations in Spain, Belgium, Romania, Slovakia and Moldova, supporting about 40 million customers.

As part of the agreement, Ericsson will further transform operations by deploying Ericsson Operations Engine to capitalize on previous automation. The new AI-based Ericsson Operations Engine managed services model transforms operations to become data-driven, predictive and proactive.

SK Telecom selects Ericsson's Cloud Packet Core

Ericsson announced a new agreement with SK Telecom to deliver a Cloud Packet Core for the carrier's 5G network.

Ericsson’s Cloud Packet Core helps service providers to migrate to 5G Core (5GC) stand-alone architecture.

Jung Chang-kwan, Vice President and Head of Infra Engineering Group, SK Telecom, says: “By utilizing Ericsson’s Cloud Packet Core network solution, which realizes simplified network operations, we will unleash the full potential of new 5G-enabled use cases with greater efficiency.”

Jan Karlsson, Senior Vice President and Head of Digital Services, Ericsson, says: “This deal, and the opportunity to work with SK Telecom’s Network Functions Virtualization Infrastructure (NFVI), has put us in the ideal position to further strengthen their 5G network. Delivering our Cloud Packet Core solution will positively impact SK Telecom’s network operations and will reinforce Ericsson’s position as a leader in 5G core.”

SK Telecom switched on its commercial 5G network in December 2018 after selecting Ericsson as one of its primary 5G vendors. Previously, Ericsson provided radio access network (RAN) products, including mid-band Massive MIMO.

Thursday, November 14, 2019

MTN South Africa picks Ericsson for 5G core/radio

MTN South Africa has selected Ericsson as a 5G network modernization vendor.

Specifically, Ericsson will supply 5G products and solutions from its Radio Access Network (RAN), transport and Core portfolios, with commercial rollout expected to start in 2020.

MTN South Africa is upgrading its core network to support 3GPP-compliant 5G Non-Standalone (NSA) architecture. 5G commercialization is planned between 2020 and 2022, with a focus on use cases and applications relevant in the South African context.

MTN is using 5G New Radios (5G NR), basebands, and MINI-LINK microwave transmission products from the Ericsson Radio System portfolio to enhance network quality and user experiences for the company’s 30 million customers. Ericsson has also provided MTN with an Ericsson Cloud Core network, including 5G Evolved Packet Core (5G EPC) and User Data Management (UDM).

Tuesday, November 12, 2019

Ericsson, Swisscom, and Qualcomm test 5G spectrum sharing

Ericsson, Swisscom, and Qualcomm carried out an over-the-air spectrum sharing 5G data call at Swisscom’s Digital Lab on October 31. The call was enabled by Ericsson Spectrum Sharing (ESS).

Ericsson and Qualcomm had previously achieved the first 5G data call using Ericsson Spectrum Sharing on a 3GPP Frequency Division Duplex (FDD) low band.

Ericsson Spectrum Sharing, part of Ericsson Radio System, enables a quick, flexible, and cost-effective upgrade to 5G within existing 4G carriers. Based on traffic demand, the solution will dynamically share spectrum between 4G and 5G carriers, making the switch within milliseconds to minimize spectrum wastage and provide the best end-user performance.

Swisscom, with Ericsson as its sole 5G vendor, was the first communications service provider in Europe to launch commercial 5G services in April 2019 – on the 3.6 GHz band. Swisscom is targeting 90 percent population coverage by the end of 2019.

Patrick Weibel, Head of 5G Program, Swisscom, says: “Dynamic Spectrum Sharing (DSS) allows Swisscom to best leverage the existing frequency spectrum and infrastructure for 4G and 5G customers, depending on their needs. Spectrum sharing will ensure that Swisscom can provide extensive 5G coverage to its customers as soon as possible.”

Hannes Ekström, Head of Product Line 5G RAN, Ericsson, says: “With Ericsson Spectrum Sharing, service providers can reuse their Ericsson Radio System investments on bands currently used for LTE to support a fast introduction of 5G. This first ESS 5G data call by Swisscom, on commercial platforms, is an important step toward enabling cost-efficient, nationwide 5G coverage and services.”

Monday, October 21, 2019

Ericsson adds AI functionality to radio access networks

Ericsson announced new AI for radio access networks covering two main applications: advanced traffic management, which secures optimal distribution of traffic; and evolved carrier optimization, which enables uplink improvements and predictive carrier aggregation. The new software will become available worldwide from November this year.

The new AI capabilities for advanced traffic management can provide extended 5G coverage, and more intelligence for the dynamic distribution of users across frequencies, improving user experience.

The new AI capabilities for evolved carrier optimizations enable traffic-aware carrier aggregation, which can offer an instant speed boost in the uplink and the downlink simultaneously for smartphone users.

Ericsson clains 5G coverage can be boosted by up to 25 percent using AI capabilities compared with default settings. It will also enable four times more uplink capacity on LTE networks for a more seamless upload of data, through traffic-aware carrier aggregation, boosting connectivity for a broad ecosystem of advanced smartphones.

Ulf Rydin, Head of Product Area 4G RAN, Ericsson, says: “Ericsson has developed advanced AI capabilities so service providers can improve network performance continuously and deliver a superior user experience. The new AI capabilities can be enabled with a remote software update. Any current installed RAN Compute base will benefit from the enhancements without the need for any site visits or additional new equipment.”

NVIDIA brings GPU power to Ericsson's virtualized 5G RAN

Ericsson and NVIDIA are collaborating on technologies for virtualized 5G radio access networks (RAN).

The companies said their ultimate goal is to commercialize virtualized RAN technologies to deliver radio networks with flexibility and shorter time to market for new services, such as augmented reality, virtual reality and gaming.

Fredrik Jejdling, Executive Vice President and Head of Networks, Ericsson, says: “As a technology leader, we embrace openness and new platforms where we can continue to innovate and push boundaries to provide our customers with the best possible solutions. With NVIDIA we will jointly look at bringing alternatives to market for virtualizing the complete radio access network.”

Jensen Huang, founder and chief executive officer of NVIDIA, says: “5G is set to turbocharge the intelligent edge revolution. Fusing 5G, supercomputing, and AI has enabled us to create a revolutionary communications platform supporting, someday, trillions of always-on, AI-enabled smart devices. Combining our world-leading capabilities, NVIDIA and Ericsson are helping to invent this exciting future.”

Thursday, October 17, 2019

Ericsson: 5G is taking off faster than earlier anticipated

Citing strong growth in North America and North East Asia, Ericsson reported Q3 2019 sales of SEK 57.1 (53.8) billion (US$5.88 billion), up 3% when adjusted for comparable units and currency, and up 6% on a reported basis. Operating income was SEK 6.5 billion (11.4% operating margin) when excluding restructuring charges and items affecting comparability.  Net income was SEK -6.9 (2.7) billion.

Ericsson now has 27 commercial 5G contracts with named operators.

At its Investor Day in Stockholm, Ericsson expressed confidence in reaching 2020 and 2022 financial targets.


Some comments from Börje Ekholm, President and CEO of Ericsson:

We continue to see strong momentum in our business, based on the strategy to increase our investments for technology leadership, including 5G. We saw organic sales growth[1] of 3% in the quarter, driven by the early adopters of 5G, in North America and North East Asia. Our operating income was SEK 6.5 b., corresponding to a margin of 11.4% excluding restructuring costs, the SEC and DOJ provision of USD -1.2 b. (SEK -11.5 b.) and the refund of social security costs of SEK 0.9 b. Free cash flow before M&A was SEK 5.5 (0.7) b. adding to our strong financial position.

Our focused strategy, introduced in 2017, is aimed at building a stronger Ericsson longer term. With clear focus on our operator customers the strategy stands on a foundation of increased investments in R&D for technology and cost leadership, and growing market footprint. Increased R&D efforts, which will continue, have resulted in a competitive portfolio driving improved gross margin. In addition, we have been able to record several important wins improving market footprint for future business. We are disciplined in the deals we take and target opportunities where we have a clear competitive advantage through technology leadership, supported by our improved cost structure in hardware and software. While we believe the strategic contracts are attractive long term, the initial margins may be challenging. This is due to high associated costs as operators change vendors.

An important indicator for our execution of the strategy is the improvement in gross margin. The gross margin[2] in the quarter ended at 37.8% compared with 36.9% last year and 36.7% last quarter. Within the 0.8 percentage point[3] sequential decline in Networks gross margin, we have absorbed the margin impact and inventory provisions related to strategic contracts.

The largest market for 5G infrastructure will be China where deployments are expected to start near term. We have invested to increase our market share, however it is still too early to assess possible volumes and price levels. Based on historic experience we expect to have challenging margins initially but positive margins over the lifespan of a contract.

With an organic sales growth[1] of 4%, segment Networks delivered another solid quarter, with strong development in North America. Operating margin improved YoY, with continued good traction for the Ericsson Radio System.

The turnaround of Digital Services is on track for low single digit margins in 2020. Driven by strong improvement in the underlying business, the losses were substantially reduced QoQ, in spite of a negative impact from the remainder of the 45 critical contracts of SEK 0.5 b. (slightly more than in the second quarter). The negative impact of these contracts will continue to vary between quarters as they are addressed. We continue to focus on developing a full 5G and cloud-native portfolio. It is encouraging to see that the sales growth in our new product portfolio improved from 13% to 19% rolling 12 months.

5G is taking off faster than earlier anticipated and we see initial 5G buildout as a capacity enhancer in metropolitan areas. However, over time, new exciting innovations for 5G will come with industrial and IoT use cases, leveraging the speed, latency and security characteristics of 5G. This provides opportunities for our customers to capture new revenues as they provide additional benefits to consumers and businesses.

Our IoT business is growing almost twice as fast as the estimated market growth of 20-25% per year. We have more than 4,500 enterprises on our IoT platform and the number of connected devices on the platform has more than doubled year to date. To fully leverage our position and capture new recurring revenue streams we are increasing our investments in IoT within Emerging Business. With this investment, we do not expect to reach breakeven for the segment next year, and instead incur losses of SEK -1.5 to -2.0 b.


https://www.ericsson.com/4a98ea/assets/local/investors/documents/2019/ericsson-investor-update-2019.pdf

Korea’s LG U+ selects Ericsson for RAN and core #5G NSA

South Korea-based LG U+ has selected Ericsson as a 5G radio access network (RAN) vendor for its 3.5 GHz Non-Standalone (NSA) 5G network. Ericsson has already been selected by LG U+ as a preferred 5G core network vendor.

This first 5G RAN contract with LG U+ sees Ericsson deploying 3GPP standards-based 5G New Radio (NR) hardware and software from Ericsson Radio System (part of Ericsson’s 5G platform).

RAN deployment got underway in October 2019. Ericsson solutions are going commercially live as they are deployed in the LG U+ network.

The new RAN deal means that Ericsson now has commercial 5G RAN contracts with all three major communication service providers in Korea.

Daehee Kim, Vice President, Network Strategy, LG U+, says: “We are delighted to have Ericsson as a trusted 5G Core and 5G RAN vendor. Ericsson’s end-to-end 5G technology leadership is key to ramping-up our nationwide 5G ambitions in Korea. Ericsson will help us to deliver the very best enhanced mobile broadband experiences for our subscribers, as well as opening up innovation and job creation opportunities through the Internet of Things (IoT), Industry 4.0 and digitalized society.”

Hakan Cervell, Head of Ericsson Korea, Ericsson, says: “We’re working in close partnership with LG U+ to strengthen its 5G network in Korea. We look forward to building the partnership to help LG U+ meet its 5G needs as its subscriber base grows across enhanced mobile broadband, IoT, and Industry 4.0. We’re also delighted to now be working with all three communication providers in Korea to use our 5G abilities to keep the country at the forefront of 5G innovation and benefits.”

Korea’s Ministry of Science and ICT is forecasting that says the number of 5G subscriptions his pass the five million mark by the end of 2019.

Wednesday, October 16, 2019

Bharti Airtel picks Ericsson’s 5G-ready Cloud Packet Core

Bharti Airtel has selected Ericsson to deploy its 5G-ready Cloud Packet Core in Airtel’s Pan India core network. Financial terms were not disclosed.

Ericsson Cloud Packet Core is built on its virtual Evolved Packet Core (EPC) applications. Ericsson’s NFVI solution enables operators to deploy virtual telecom, Operations Support Systems (OSS), Business Support Systems (BSS), Information Technology and media applications.

Randeep Sekhon, CTO, Bharti Airtel, says: “The Indian telecom market is witnessing massive surge in data usage. To address this demand and evolving consumption patterns, we are investing in innovative technologies and solutions to enable a superlative data experience for our customers in India. Ericsson is one of our key network partners and this deployment will help us enhance our packet core network which will not just scale up data capacity, but also make us edge cloud ready.”

Nunzio Mirtillo, Head of Ericsson South East Asia, Oceania and India, Ericsson, says: “Ericsson has been leading the virtual Evolved Packet Core market for several years now and our solutions in this area are gaining traction around the world. The technologies and solutions that we are providing Airtel are a key part of Ericsson’s 5G Core offering. The deployment of these technologies will help Airtel in meeting the rapidly evolving demands of customers and also enable swift deployment of new use cases and innovative services for small and medium sized enterprises (SMEs) and Internet of Things (IoT).”

Thursday, October 3, 2019

Ericsson completes acquisition of Kathrein’s antenna and filter business

Ericsson completed its acquisition of Kathrein’s antenna and filters business. The deal was first announced in February 2019. The purchase price was not disclosed. Preliminary and unaudited revenues from the acquired part of Kathrein were approximately EUR 270 million in 2018, excluding sales to Ericsson.

Kathrein, with headquarters in Rosenheim, Germany, founded in 1919, specializes in antenna and filter technologies and is an existing Ericsson supplier. The antenna and filters business has a strong R&D organization with extensive experience in antenna design and research, coupled with a strong IPR portfolio. In addition to broadening Ericsson’s portfolio of antenna and filter products, the acquisition will bring vital competence for the evolution of advanced radio network products. The acquisition will add around 4,000 highly-skilled professionals in R&D, production, and sales based in more than 20 locations, including Germany, Romania, the U.S., Mexico and China.

Ericsson says the antenna domain is evolving using multiple frequencies and multiple technologies. At the same time, radios and antennas are being integrated to optimize the usage of site space and overall network performance, which is vital for the introduction of 5G. This makes antennas going from being passive components to a more advanced technology and an area of strategic importance.

Tuesday, October 1, 2019

KDDI picks Ericsson, Nokia and Samsung for 5G

KDDI named Ericsson, Nokia and Samsung as its primary 5G vendors for next-generation network deployment in Japan.

KDDI expects the first commercial live 5G services to be available from March 2020, with more than 93 percent coverage of 5G base station areas specified by Japan’s telecom regulation body by the end of March 2025.

Ericsson confirmed that it will supply KDDI with Radio Access Network equipment, including products and solutions from the Ericsson Radio System portfolio. The equipment will allow KDDI to roll out commercial 5G services in several parts of Japan on their sub-6GHz and 28GHz bands for 5G New Radio (NR). KDDI’s selection of Ericsson as a 5G vendor follows nearly four years of close collaboration on 5G between the companies.

Nokia also confirmed its selection as a primary partner to upgrade KDDI's 4G network to 5G using its AirScale platform, which supports both 4G and 5G operations. This will allow KDDI to modernize its 4G network and meet the growing consumer and industrial demands for 5G. The contract for 5G radio re-enforces the strong relationship between the two companies, which dates back over two decades.

Nokia is an existing supplier to KDDI across multiple technologies, including radio, fixed networks, mobile core network and multiple software solutions. The 5G network will support KDDI across both cmWave and mmWave 5G frequency bands and can be deployed in both distributed and centralized architectures.

Samsung Networks said it will provide KDDI with its latest 5G network solutions, including various radio base stations supporting mid-band (3.7~3.8GHz and 4.0~4.1GHz) and mmWave (28GHz) spectrum, as well as virtualized RAN. In preparation for the arrival of 5G, the two companies have carried out several successful trials on real-world use cases and achieved world-first 5G milestones. This includes Japan’s first mmWave outdoor 5G handover test success in 2017, 5G handovers for high-speed racing cars and trains in 2017, a real-time free-viewpoint video stream at baseball stadium in 2018, a 5G-powered education showcase in an elementary school in 2019, and a demonstration of the power of real-time 4K video communication at Haneda Airport, Tokyo in 2019.

John Harrington, Head of Nokia Japan, said: “This deal will allow KDDI to get ready for the 5G era and we are honoured and excited to continue our long-term relationship. As an end-to-end supplier of multiple technologies to KDDI, we look forward to transforming the network and launching 5G for consumers and industries.”

Chris Houghton, Senior Vice President, Head of Market Area North East Asia, Ericsson, says: “Having established our important partnership with KDDI in 2013, we have now expanded our collaboration efforts. We are excited about our involvement in KDDI’s 5G network buildout, which will provide a sound basis for our future collaboration as well as allowing our partner to offer users a whole new generation of mobile services.”

Wednesday, September 25, 2019

Ericsson makes US$1.23 billion provision for U.S. investigation

Ericsson made a provision of SEK 12 billion (US$1.23 billion) to resolve the ongoing investigation by U.S. authorities. The process to find a resolution is still ongoing, but Ericsson reckons it may face a monetary sanction of US$1 billion.

As previously disclosed, Ericsson has been co-operating voluntarily since 2013 with an investigation by the United States Securities and Exchange Commission (SEC) and, since 2015, with an investigation by the United States Department of Justice (DOJ) into Ericsson’s compliance with the U.S. Foreign Corrupt Practices Act (FCPA) and the process is still ongoing. The investigation covers a period ending Q1 2017 and revealed breaches of the Company’s Code of Business Ethics and the FCPA in six countries: China, Djibouti, Indonesia, Kuwait, Saudi Arabia and Vietnam.

The company previously communicated that the resolution of the investigations will result in material financial and other measures. While Ericsson cannot comment in detail on the ongoing process with the U.S. authorities, the Company can with current visibility now estimate the cost and thus make a provision, which will impact the third quarter 2019 results by SEK 12 b. The provision constitutes the Company’s current estimate of expenditure related to resolving the U.S. investigations, of which the combined monetary sanctions from SEC and DOJ is estimated at USD 1 b., and the remainder pertains to other costs related to resolving the investigation. The provision will be booked as Other Operating Expenses in the income statement of Segment Emerging Business and Other.

Börje Ekholm, President and CEO, says: ”Over the last two years we have operationally turned around our company and established a strong portfolio and competitive cost structure. With today’s announcement we confront another legacy issue and take the next step in resolving it. We have to recognize that the Company has failed in the past and I can assure you that we work hard every day to build a stronger Ericsson, where ethics and compliance are cornerstones in how we conduct business. Over the past two years, we have made significant investments in our ethics and compliance program including our investigative capabilities and have taken actions against employees who have transgressed our values and standards.”

Thursday, September 19, 2019

Ericsson to open 5G factory in Texas

Ericsson will open a US$100 million state-of-the-art factory in Lewisville, Texas, a suburb close to Dallas/Fort Worth International Airport and Ericsson’s North America headquarters in Plano.
 
The 28,000sq m facility will produce 5G and Advanced Antenna System radios to boost network capacity and coverage to meet the demand for rapid 5G deployments in North America. Commercial operations are expected in early 2020 and will be powered by Ericsson 5G solutions tailored for the industrial environment. Fast and secure 5G connectivity will enable agile operations and flexible production. Ericsson’s 5G industrial solutions include automated warehouses, connected logistics, automated assembly, packing and product handling, and the use of autonomous carts.

Texas Governor, Greg Abbott, says: “From manufacturing to technology, the Texas economy is firing on all cylinders thanks to investments of world class companies like Ericsson. I am proud that Ericsson has chosen Texas to expand its operations, and can assure them that as Governor, I will continue to promote pro-growth policies that reduce the heavy hand of government regulation and encourage expansion in the private sector.”

Niklas Heuveldop, President and Head of Ericsson North America, says: “As the commercial 5G network rollout continues to accelerate across North America, Ericsson is excited to lead the global technology evolution in close partnership with our North American customers, with a clear focus on value creation for consumers, enterprises and society at large. We continue to increase our investments in the U.S., so that we can more rapidly respond to customer demands, accelerating our pace of innovation and time to market for critical new products.”

See also