Ericsson's IPX creates a smooth-working hub between content providers and operators within the mobile sphere. When Ericsson signs agreements with mobile operators in one country, content providers can connect to IPX and quickly reach out across to all subscribers in the country. Before IPX, they had to sign separate agreements with each mobile operator, which proved both technically complex as well as time-consuming.

Björn Zethraeus, VP Marketing and Sales and co-founder of IPX, says that the solution makes it easy for content providers to exploit their innovative services and applications on a global base. This is also profitable for operators since IPX generates more traffic in their networks.

IPX is offered as a managed solution installed in an Ericsson hosted-service center. Its two main areas are Payment and Messaging and since its launch a few years ago, IPX has become an established solution covering 600 million subscribers in 20 countries. Several hundred content providers have now signed agreements with Ericsson allowing them to connect to IPX.

IPX is a customer-oriented business and focuses on the market perspective rather than technology. Together with partners and customers, IPX forms a valuable eco-system that has proven to be efficient when launching new services in new countries.

The IPX purchasing process begins with the end-consumer's wish to buy specific content. First the system identifies the subscriber and its operator. The operator responds by sending information about the subscriber's payment possibilities to IPX, who asks the customer if he or she wants would like to continue the purchase. Once confirmation is received, the requested content is sent to the end-user. The cost for the service is then withdrawn from the user's normal subscription payment, pre-paid or post-paid. "We want this to continue to be a robust and global solution that can handle large volumes, because we see a lot of growth in the future," says Zethraeus.

IPX handles services such as the purchase of ring tones, music, traffic information, games and travel bookings. An important customer in Scandinavia is the directory-assistance service Eniro 118 118 AB. This company provides information about phone numbers, addresses and locations and it is all accessible through the mobile phone.

The security aspect is another central part of the IPX system. People must be able to trust that all parts of the value chain will work with absolute security: otherwise they will avoid such payment services. Zethraeus draws parallels with the Visa card system. "The credit card has definitely succeeded in creating faith in the system. There are now a billion cards in the market and everyday billions of dollars in transactions. This proves that the consumer feels comfortable with the payment method and is confident that the transaction is securely handled throughout the entire value chain."

Ericsson is active in security issues and is working to build-up user confidence. Being a major player, having an active role in industry bodies and helping form strict rules for the development of the telecom industry, is strength. Among its other efforts, Ericsson is continuously involved in developing purchase dialogs with operators that protect the consumer. "If you are going to sell something, you must inform the customer that it is a purchase, there needs to be clarity and ease-of-use," Zethraeus says. "We are working on improving all parts of the value chain."

Security and easy access create peace of mind and bring more users to the world of mobile payment and messaging. Operators have a key role and influence the market through their own portals and offerings. "The trend is for operators to release their grip a little and that is a good thing - you get a totally different driving force when you give the content providers more freedom," Zethraeus says.