Sunday, October 23, 2011

Video: Energy Efficient Ethernet -- The Drive to Low-power Networking

In this 8-minute video, Vitesse's Brian Jaroszewski and Dinesh Kannapan discuss the growing cumulative power demands of networks and how the IEEE's 802.3az standard paves the way for a new generation of Energy Efficient Ethernet. Vitesse's EcoEthernet pushes the efficiency gains even further with additional power saving techniques.


SiTime High Performance MEMS Differential Oscillators

SiTime introduced a set of high performance differential oscillators with 10 PPM stability and only 500 femtoseconds of jitter and targeted at high performance telecom, storage and networking applications such as core and edge routers, SATA / SAS / FibreChannel host bus adapters, cloud storage, servers, wireless base stations and 10Gb Ethernet switches.

The SiT9121and SiT9122 MEMS oscillators can be custom configured and use industry-standard footprints, enabling easy replacement of quartz differential oscillators without any design or layout changes.

"Traditional differential oscillators that are based on legacy quartz, SAW and overtone technology have inherent limitations in stability and reliability,�? said Piyush Sevalia, vice president of marketing at SiTime. “The new SiT912x differential oscillators offer a unique combination of ultra performance and programmable features that were developed with SiTime's analog CMOS and all-silicon MEMS technology. Our breakthrough products render traditional oscillators obsolete, and accelerate the electronics industry's usage of MEMS oscillators.�?

Key features:

  • 500 femtoseconds of integrated RMS phase jitter (12 kHz to 20 MHz) to meet the stringent requirements of applications such as SONET

  • ±10, ±25, and ±50 PPM total frequency stability for better system timing margin

  • Wide frequency range: 1 to 220 MHz for SiT9121 and 220 to 650 MHz for SiT9122

  • Programmable frequency with 6 decimal places of accuracy, ensuring the highest system performance

  • Configurable LVPECL and LVDS signaling levels

  • 50,000 g shock and 70 g vibration resistance, along with 500 million hours MTBF for high reliability applications

  • Operating voltage of 2.5V or 3.3V

  • Industrial (-40 to +85°C) and extended commercial (-20 to +70°C)

  • Industry standard footprints in 5.0x3.2mm and 7.0x5.0mm packages

  • Sample shipments in 48 hours and production lead time of 3-5 weeks.

AT&T Teams with Harris on Public Safety LTE

AT&T and Harris announced an alliance to develop and deliver next generation public safety LTE solutions.
The companies are exploring opportunities to provide first responders with broadband and mission critical communications systems that will enable high-speed video and data solutions.

AT&T and Harris would bring extensive experience supporting public safety and government customers. Key deliverables would include:

  • A unified experience driven by integration of broadband and narrowband Land Mobile Radio (LMR) networks

  • Multiple business models to fit agencies' needs and resources – from complete end-to-end network solutions to a subscriber-based model

  • Seamless roaming and nationwide interoperability using AT&T's 4G network when outside the public safety LTE network coverage area

  • Handheld, vehicle-mounted and peripheral LTE-compatible devices

  • Mission-critical broadband applications

  • Seamless access to both private and public networks for public safety agencies

  • Network management, applications and support systems

  • Integrated Broadband/Project 25 infrastructure and devices.

"This alliance is a first step toward making next-generation technology and services available to agencies who seek competitive options," said Chris Hill, AT&T Vice President of Advanced Business Solutions. "It's the beginning of a public safety ecosystem of open devices and applications interoperable with private broadband networks, as they become available."

  • In August, Harris Corporation, in partnership with Nokia Siemens Networks, has provided its 700 MHz LTE public safety network infrastructure to the NIST (National Institute of Standards and Technology) testing lab in Boulder, Colorado. The solution is now operational within the 700 MHz Public Safety Broadband Demonstration Network. Harris noted that its 700 MHz LTE network support a wide range of existing and emerging high-bandwidth applications such as streaming video, advanced situational awareness and PTT (Push To Talk) voice-over-broadband features. The networks also provide users with priority and Quality of Service (QoS) controls, user authentication and air link encryption, advanced load balancing and Self-Optimizing Network Management.

AT&T Notes Soaring Wi-Fi Offloads, Acquires Superclick

AT&T Wi-Fi connections nearly tripled (up more than 282 percent) in Q3 to 301.9 million versus connections made in the third-quarter 2010. Users now make 100 million AT&T Wi-Fi connections per month. AT&T also saw data carried on its Wi-Fi network more than double versus the third-quarter 2010.

AT&T currently has more than 29,000 Wi-Fi hotspots in operation. Smartphone users can connect to these hotspots automatically at no extra cost.

"The accelerating growth in connections and usage on our Wi-Fi network shows what we've known all along: Customers want to connect wherever they are, from any device, in a fast, reliable and convenient way,�? said Angie Wiskocil, senior vice president, AT&T Wi-Fi Services. “Consumers and businesses understand the numerous benefits in using and offering Wi-Fi in more places. By investing in our network and expanding our Wi-Fi footprint, we will continue to be the leader in Wi-Fi services."

AT&T also announced plans to acquire Montreal-based Wi-Fi management services provider Superclick for an undisclosed sum. Superclick Networks is the management solution provider for hospitality Internet network services. The company also supplies a standalone a wireless and wired IP network management and Internet gateway solution. AT&T said the acquisition enables it to expand its services and platforms to deliver premium services in the high-end hospitality sector, domestically and internationally. The deal is expected to close in the fourth quarter. Superclick's customers include Fairmont Hotels and Resorts, Four Seasons Hotels and Resorts, Intercontinental Hotel Group, Marriott International, Starwood Hotels & Resorts Worldwide, Kimpton Hotels, Mandarin Oriental Hotel Group and Jumeirah Hotels & Resorts as well as leading ownership and management groups. http://www.att.con

Ceragon Debuts Backhaul solution for Ethernet and IP/MPLS

Ceragon Networks introduced a wireless backhaul solution optimized for Ethernet & IP/MPLS aggregation networks.

The new FibeAir IP-10Q can deliver up to 4 Gbps of traffic and support up to four carriers in a single rack unit. It leverages an innovative frame cut-through technology that provides extremely low latency for delay-sensitive applications, with up to 70% reduction in frame delay compared to other available solutions. Ceragon said its device enables operators to meet strict subscriber service level agreement (SLA) requirements through its no single point of failure (SPoF) design, and is optimized for migration from SONET/SDH aggregation networks to packet networks.

"As 4G/LTE networks rollout intensifies, operators must be ready to deal with the oncoming flood of data across their entire network,�? said Hagai Zyss, EVP and GM of Short-Haul Solutions Group at Ceragon Networks. “The FibeAir IP-10Q offers operators the end-to-end wireless backhaul capacity management necessary to build out tomorrow's aggregation networks. This newest device in the FibeAir IP-10 series provides even more ways to tailor backhaul solutions and increase network scalability to match our customers' needs and reduce their dependency on fiber."

Key Features:

  • Highest possible capacity and efficiency at any channel bandwidth

  • Up to 1 Gbps of IP traffic on a single radio channel

  • High radio density - up to 4 carriers in 1 radio unit with built-in redundancy

  • Optimized for Ethernet & IP/MPLS aggregation networks

  • Enhanced compression technology for capacity acceleration

  • Seamless replacement path of existing network elements and easy upgrade from multi-carrier systems

  • Network Management System (NMS) with full FCAPS including end-to-end Ethernet service management.

Texas Instruments Focuses on Nano Power Energy Harvesting

Texas Instruments introduced its next generation of power management integrated circuits (ICs) for energy harvesting, potentially opening the door for self-powered devices, such as wireless sensors in Smartgrid, industrial, security, medical, agriculture, and structural monitoring applications.

TI said its new, highly efficient boost charger for nano (ultra low) power energy harvesting can manage the microwatts to milliwatts of power generated from a number of sources, such as solar, thermoelectric, electromagnetic and vibration, and store the extracted energy in various storage elements, including Li-ion batteries and super capacitors. The new device also includes circuitry to protect the energy storage element from over voltage and under voltage conditions and to kick-start the system when the battery is deeply discharged.

TI calculates that in a solar panel powering a handheld device that is operating in indoor light conditions, for example, the new boost charger increases the usable harvested energy by 30 to 70 percent compared to a linear regulator.

"Wireless sensor networks have been limited in their penetration due to the cost associated with maintaining and replacing the batteries within sensor nodes," said Sami Kiriaki, senior vice president over TI's Power Management business. "With the bq25504 boost charger, the nodes can power autonomously, which can reduce the operating cost and thereby make ultra low-power wireless sensor networks cost-effective in more applications, such as industrial monitoring of hazardous or restricted areas."

Motorola Solutions Readies its Public Safety LTE Solution

Motorola Solutions will begin shipping its first Public Safety LTE solution on Nov. 11, 2011 (11/11/11).
The commercial release builds on the company's alliances with Ericsson and Verizon Wireless.

This Public Safety LTE solution will support a host of public safety applications such as Motorola's PremierOne and other computer-aided dispatch (CAD), real-time video streaming, tactical collaboration, dynamic mapping and routing, and in-field reporting as well as push-to-talk and voice telephony.

Motorola also noted the following:

The first release of Public Safety LTE will prioritize bandwidth on standards-based LTE depending on the responder's agency, role and applications being used.

Ericsson provides LTE radio access and packet core networks with field-proven stability, throughput, and latency – key factors for Public Safety workers.

The Ericsson LTE eNodeB equipment, RBS 6000, included in Motorola's Public Safety LTE solution complies with 3GPP Release 9, exceeding the Federal Communications Commission (FCC) and Public Safety Communications Research Program (PSCR) mandate of 3GPP Release 8.

The Motorola and Verizon Wireless alliance will enable first responders to realize connectivity to their services on both the Motorola Public Safety LTE network and nationwide Verizon Wireless' 3G/4G network.

Motorola has publicly announced three Public Safety LTE projects: San Francisco Bay Area; Harris County, Texas; and the state of Mississippi.

  • In August, Motorola introduced two LTE devices aimed at public safety applications. The VML700 LTE Vehicle Modem connects equipment in the patrol car, fire apparatus, or command vehicle to Band Class 14 LTE networks. The solid state device can also connect to EVDO and WiFi networks. It is built to withstand heat, cold, rain, dust, humidity and vibration.

    The UM1000 USB LTE Modem plugs into a USB port to allow laptops or mobile computers access to a Public Safety LTE network.

Alvarion Moves into Indoor DAS Solutions

Alvarion introduced its new BreezeCELL solution for indoor coverage. The new system leverages a unique flat architecture supporting multi-technology, single cable MIMO and much more. The solution's remote unit is all-inclusive with an antenna inside, which reduces installation complexity and helps reduce CAPEX.

“We believe that current and future DAS deployments are all about data capacity. To meet customer expectations, operators have to consider LTE, MIMO, additional sectors and device-to-base station quality of connectivity,�? commented Ron Agam, General Manager, Wireless Capacity and Coverage, Alvarion. “We have designed TrueActive technology to tackle this challenge."

Netflix Loses 800K Subscribers in Q3

Netflix ended Q3 with 23.79 million unique U.S. subscribers, down from its peak of 24.59 million at the end of Q2 2011. Profits increased for the quarter, but due its recent price hike and subsequent shift and then reversal of marketing strategy, Netflix expects subscriptions, revenue and profits to be lower in Q4 and that the company may become unprofitable in Q1 2012 as it makes its market debut in the UK and Ireland.

Saturday, October 22, 2011

Microsoft Signs Another Android Patent License Agreement

Microsoft announced a patent licensing agreement with Taiwan-based Compal covering the use of Microsoft patents in tablets, mobile phones, e-readers and other consumer devices running the Android or Chrome Platform. Microsoft will earn royalties on each such Compal device shipped.

"We are pleased to have reached this agreement with Compal, one of the leaders in the original design manufacturing, or ODM, industry. Together with the license agreements signed in the past few months with Wistron and Quanta Computer, today's agreement with Compal means more than half of the world's ODM industry for Android and Chrome devices is now under license to Microsoft's patent portfolio," said Horacio Gutierrez, corporate vice president and deputy general counsel, Intellectual Property Group at Microsoft.

Thursday, October 20, 2011

TELUS Chooses Astellia for Service Assurance

TELUS has awarded a multimillion dollar contract to supply its unified service assurance system covering 3G UTRAN and Core data networks. The system incorporates Astellia's latest technology including multidimensional analytics for data.

Huawei to Launch TV White Space LTE TDD System Trial

Huawei has begun a TV White Space (TVWS) LTE TDD system trial. The company said it gas been working on the technology for the past two years and recently completed a laboratory trial. The next phase—the system performance and interference coordination test and field trial—will be finalized in mid-2012.

"The LTE TDD system can take full advantage of TVWS bandwidth and enhance spectrum efficiency," said Mr. Tan Zhu, director of wireless strategy department, Huawei. "We have seen that our TVWS LTE TDD system offers broader coverage and fewer sites, reducing both capital and operational expenditures. This LTE TDD system will benefit network and service providers by offering a combination of strong operation and management capability, a mature industry chain, and variety of deployment scenarios. We are excited to undertake the second phase of the trial next year."

Verizon Sees Continued Gains in Smartphones and FiOS

Verizon Communications reported quarterly revenues of $27.9 billion on a consolidated basis, an increase of 5.4 percent compared with third-quarter 2010. Driven by Verizon Wireless and continued growth in FiOS and strategic business services,Verizon posted 49 cents in EPS in the quarter, compared with 23 cents per share in third-quarter 2010.

"Verizon emerges from the third quarter in a strong position to accelerate growth," said Lowell McAdam, Verizon president and chief executive officer. "We faced significant challenges in recent months, yet delivered results that keep us on track to meet our 2011 earnings and revenue guidance, with great momentum expected entering 2012. We continue to grow revenues from strategic products and to increase free cash flow through improved operating performance and disciplined capital spending."

Verizon Wireless Operational Highlights

Verizon Wireless added 1.3 million total connections in third-quarter 2011, including 882,000 retail postpaid customers, and 367,000 wholesale and other connections. These additions exclude acquisitions and adjustments.

At the end of the third quarter, the company had 107.7 million total connections, an increase of 6.5 percent year over year, consisting of 90.7 million retail customers and 17.0 million wholesale and other connections.

At the end of the third quarter, smartphones accounted for 39 percent of the Verizon Wireless retail postpaid customer phone base, up from 36 percent at the end of second-quarter 2011.

Rollout of Verizon Wireless' LTE mobile broadband network is ahead of schedule and has already exceeded the company's 2011 target of covering a population of 185 million.

Service revenues in third-quarter 2011 totaled $15.0 billion, up 6.1 percent year over year. Data revenues were $6.1 billion, up more than $1.0 billion or 20.5 percent year over year, and represent 40.6 percent of all service revenues. Total revenues were $17.7 billion, up 9.1 percent year over year.

Retail postpaid ARPU grew 2.4 percent over third-quarter 2010, to $54.89. Retail postpaid data ARPU increased to $22.22, up 15.7 percent year over year. Retail service ARPU also grew 2.4 percent, to $53.21.

Some Wireline Operational highlights

Verizon added 138,000 net new FiOS Internet connections and 131,000 net new FiOS TV connections in third-quarter 2011. Verizon had a total of 4.6 million FiOS Internet and 4.0 million FiOS TV connections at the end of the quarter. With the clearing of FiOS installation backlogs caused by the storms and strike, Verizon expects to add at least 200,000 FiOS Internet and 200,000 FiOS TV customers in fourth-quarter 2011.

FiOS penetration (subscribers as a percentage of potential subscribers) continued to increase. FiOS Internet penetration was 35 percent at the end of third-quarter 2011, compared with 31 percent at the end of third-quarter 2010. In the same periods, FiOS TV penetration was 31 percent, compared with 27 percent, respectively.

Broadband connections totaled 8.6 million at the end of third-quarter 2011, a 2.8 percent year-over-year increase. FiOS Internet connections more than offset a decrease in DSL-based HSI connections, resulting in a net increase of 20,000 broadband connections from second-quarter 2011. Total voice connections, which measures FiOS Digital Voice connections in addition to traditional switched access lines, declined 7.6 percent to 24.5 million - the smallest year-over-year decline since fourth-quarter 2006.

Consumer ARPU for wireline services was $94.20 in third-quarter 2011, up 8.8 percent compared with third-quarter 2010. ARPU for FiOS customers continues to be more than $146. Revenues for Verizon's FiOS services to consumer retail customers generated nearly 60 percent of consumer wireline revenues in third-quarter 2011, compared with approximately 50 percent in third-quarter 2010.

Global enterprise revenues totaled $3.9 billion in the quarter, up 2.1 percent compared with third-quarter 2010. Sales of strategic services - including Terremark cloud services, security and IT solutions, and strategic networking - increased 15.6 percent compared with third-quarter 2010 and now represent nearly 50 percent of global enterprise revenues. Terremark achieved record new sales bookings in third-quarter 2011. International revenue, which makes up approximately 15 percent of global enterprise, grew 9.8 percent year over year.

Rostelcom Tests Huawei's 100G from Moscow to Samara

Rostelecom, the leading fixed network operator in Russia, has completed a coherent 100G trail on a 1,033 kilometer stretch of it's live network between the cities of Moscow and Samara using Huawei's platform. This route is one of the busiest in Rostelcom's network.

Huawei's 100G uses ePDM-QPSK (enhanced Polarization Division Multiplexing Quadrature Phase Shift Keying) and is able to perform well in both anti-nonlinearity and ultra-long haul transmission. Huawei said the trial successfully carried hybrid transmissions of 100G and 40G services without the use of an electrical regenerator.

Wednesday, October 19, 2011

Quantenna Forms Wi-Fi Partnership with Sagemcom

Quantenna Communications and Sagemcom have formed a collaborative partnership to integrate Quantenna's Wi-Fi technology in Sagemcom video bridges and other Wi-Fi products.

Quantenna's high performance 802.11n 4x4 MIMO solutions will enable Sagemcom to deliver value-added services to their subscribers that include the ability to stream and distribute HDTV along with other video content to multiple wireless devices in the home, such as Wi-Fi tablets and smartphones – with rock-solid whole home wireless coverage. This simplifies installation and enables a better home entertainment experience anywhere in the home.

As a result of this collaboration, Sagemcom will be able to more quickly deploy wireless services across almost any size home, even through multiple concrete walls and floors, to multiple devices simultaneously and reliably.

“The combined Quantenna and Sagemcom solution will deliver a whole new experience to consumers and enable us to rapidly deploy advanced video services,�? said Ahmed Selmani, deputy chief executive officer of Sagemcom Broadband. “We are very pleased to partner with Quantenna's best-in-class Wi-Fi solution and look forward to our continued involvement together.�?

  • Quantenna's current family of Full-11n chipsets uses the company's cost-optimized, third-generation 4x4 MIMO technology to deliver up to 600 Mbps of bandwidth. The chipsets enable manufacturers to build products for delivering IPTV and other video streaming and data distribution services throughout the home over an ultra-reliable, high-performance Wi-Fi connection.

  • Quantenna leverages dynamic digital beamforming to deliver very high-speed wireless coverage throughout the whole home for sharing high definition (HD) video and multimedia content between home gateways and TVs. Quantenna's silicon is targeted at devices such as home residential gateways, set-top boxes, routers, HDTVs and consumer electronic devices, which all require high bandwidth and reliability to support whole home HD video distribution and networking over standard Wi-Fi networks.

Sequans and Fujitsu Enter LTE Partnership

Sequans Communications and Fujitsu Semiconductor announced a technology and marketing collaboration that combines Fujitsu Semiconductor's multimode 2G/3G/LTE RF solution with Sequans' newly announced LTE baseband solutions. The Fujitsu Semiconductor RF transceiver supports all major global bands and modes, including LTE bands, and will be pre-integrated and fully validated with Sequans' LTE chips by Sequans.

The Sequans/Fujitsu Semiconductor combined solution features Fujitsu Semiconductor's MB86L12A 2G/3G/LTE RF CMOS transceiver and Sequans' SQN3110 and SQN3120 baseband chips. The MB86L12A supports all 3GPP LTE-FDD and LTE-TDD bands. The SQN3110 is Sequans' new generation 40 nm LTE baseband chip that is 3GPP R9 compliant, supporting category 4 throughput and providing extremely low power consumption in a very small footprint for handsets and the smallest of mobile devices. The SQN3120 adds an integrated applications processor for portable hotspots, hostless USB modems, and CPE devices.

ABI Research: 80 Million LTE Connections Worldwide by 2013

ABI Research is predicting80 million LTE connections globally by the end of 2013, including both FD-LTE and TD-LTE. The research firm noted that all three operators in Saudi Arabia recently lit up TD-LTE networks using 2.5 GHz licensed spectrum meant for WiMAX and plan to extend their coverage nationwide. While the Saudi operators have conducted FD-LTE trials for over a year with various vendors, the reason behind the TD-LTE network choice is primarily due to unavailable paired spectrum. They are waiting on the regulator to release new spectrum, since preferred frequency is currently used for military purposes.

“The issue of insufficient spectrum echoes across various markets and is especially evident in developing regions as regulators are a bit slow in reacting to market needs,�? notes Philip Solis, research director, mobile networks. Many operators are looking into the option of spectrum re-farming. While the preferred spectrums are usually 2.6 GHz or 700 MHz, players such as Poland's Aero2 and Singapore's MobileOne have successfully deployed FD-LTE on 1.8 GHz, which was slated for 3G usage. Aero2 has deployed TD-LTE on 2.5 GHz band.

China Mobile Tops 633 Million Users

China Mobile added another 49.5 million users in Q3, giving it a total customer base of 633.52 million users as of September. The number of 3G subscribers now tops 43 million and is rapidly rising.

The Group's operating revenue reached RMB383.846 billion, representing an increase of 8.8% compared to the same period of last year. EBITDA reached RMB187.371 billion, representing an increase of 5.4% compared to the same period of last year. Profit attributable to shareholders reached RMB91.978 billion, representing an increase of 5.4% compared to the same period of last year. Margin of profit attributable to shareholders was maintained at a relatively high level of 24.0%.

Nokia Shows Progress, Beating Expectations Ahead of Windows Phone Launch

"I am encouraged by the progress we made during Q3, while noting that there are still many important steps ahead in our journey of transformation. With each step, you will see us methodically implement our strategy, pursuing steady improvement through a period that has known transition risks, while also dealing with the various unexpected ups and downs that typify the dynamic nature of our industry. During the third quarter, we continued to take the action necessary to drive the structural changes required for Nokia's long-term success. Our results in Q3 indicate that our sales execution and channel inventory situation have improved," stated Stephen Elop, Nokia's CEO.

Some highlights:

Net sales were EUR 8.980 billion, down 13% from EUR 10.270 a year earlier.

Device sales came in at EUR 5.392, down 25% from EUR 7.173 a year earlier.

Nokia shipped a total of 106.6 million mobile devices in Q3, down 3% from a year earlier.

Nokia shipped approximately 18 million dual SIM devices in Q3

Windows Phone launch will occur next week.

Nokia expects its non-IFRS Devices & Services operating margin in the fourth quarter 2011 to be between 1% and 5%.

Average selling price continued to decline in Q3 as more low-end phones were shipped.

The decline in Smart Devices net sales in the third quarter 2011 was primarily due to significantly lower volumes because of stronger smartphone competitors.

NAVTEQ reported Q3 net sales of EUR 241 million, down from EUR 252 million, because of lower sales of map licenses to mobile device customers, partially offset by higher sales of map licenses to vehicle customers due to higher consumer uptake of vehicle navigation systems.

Nokia Siemens Networks reported Q3 net sales of EUR 3.413 billion, up 16% YoY from EUR 2.943 billion a year earlier.

The year-on-year increase in Nokia Siemens Networks' net sales in the third quarter 2011 was driven primarily by growth from the acquired Motorola Solutions networks assets. Excluding the acquired Motorola Solutions networks assets, net sales would have increased 3% year-on-year, primarily driven by growth in the Global Services business unit, which represented approximately 50% of Nokia Siemens Networks' net sales in the third quarter 2011.
The sequential decline in Nokia Siemens Networks' net sales in the third quarter 2011 was driven primarily by typical industry seasonality as well as some impact from the current macroeconomic uncertainty, offset to a certain degree by the contribution from the acquired Motorola Solutions networks assets. Excluding the acquired Motorola Solutions networks assets, Nokia Siemens Networks' net sales would have decreased 12% sequentially.
At constant currency, Nokia Siemens Networks' net sales would have increased 18% year-on-year and decreased 7% sequentially.

NSN's research and development expenses increased 18% year-on-year and 4% sequentially, primarily due to the addition of R&D operations relating to the acquired Motorola Solutions networks assets as well as investments in strategic initiatives.

Nokia and Nokia Siemens Networks expect Nokia Siemens Networks' net sales to be between EUR 3.7 billion and EUR 4.0 billion in the fourth quarter 2011.

Ericsson's Sales Rise 17%, Driven by Mobile Broadband

“Group sales in the quarter increased by 17% year-over-year driven by a continued strong demand for mobile broadband as well as increased services revenues,�? stated Hans Vestberg, President and CEO of Ericsson. Operating income, excluding joint ventures, was SEK 6.3 (6.2) b. in the quarter and net income amounted to SEK 3.8 (3.6) b., an increase of 6%. The company said it is benefitting from the rising demand for smartphones and the resulting inexorable rise in mobile data traffic. Ericsson also believes it is gaining market share globally.

Some highlights for the quarter:

Sales for comparable units, adjusted for currency and hedging, increased 24% year-over-year.

Networks sales grew 25% year-over-year. The sequential decrease of -3% was attributed to seasonality and reduced CDMA sales in North America. All regions except North America, Northern Europe & Central Asia, Mediterranean and India showed sequential growth in Networks. In the quarter, all remaining effects from the earthquake and tsunami in Japan in March this year on Ericsson's supply chain have been eliminated and lead times are back to normal. With economic uncertainties in parts of the world, we cannot exclude somewhat more cautious short-term operator spending.

Segment Global Services sales grew 7% year-over-year and sequentially and Professional Services, currency adjusted, grew by 13% year-over-year. Managed services showed good development with increased sales of 12% sequentially, following 24 new managed services contracts reported in the second quarter.

Segment Multimedia sales grew 11% year-over-year and 8% sequentially, with good traction also this quarter for revenue management
in Middle East and Sub-Saharan Africa.

ST-Ericsson posted net sales $412 million slightly ahead of expectations, even when excluding IP licensing to a third party, but there was still an operating loss $194 million. Q4 net sales are expected to be slightly up sequentially.

Sony Ericsson saw sales rise 33% over Q2. Android-based smartphone sales represent >80% of Q3 sales.