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ENERGY & ENVIRONMENT:  THE TIME TO ACT IS NOW - INTERVIEW WITH THE CEO
The time to act is now - interview with the CEO
A sense of responsibility to future generations and a commitment to channel Ericsson's communications leadership into positive solutions inspires Ericsson President & CEO Carl-Henric Svanberg's approach to climate change.

By harnessing the power of communication, Ericsson can drive sustainable solutions that address daunting environmental challenges. In the view of Ericsson President & CEO Carl-Henric Svanberg, the opportunities for Ericsson to make a positive contribution to a low-carbon future are substantial, from reduced energy consumption in products to a virtualised society that offsets physical transport. In his words, "The time to act is now."
Q: Why is climate change one of your top personal concerns?
A: While the world has always experienced climate swings, scientists agree that the global warming we see today is a human-induced problem. I have always been an outdoor person, in the mountains when I was a kid and later with my family on sailboats and I can see that our environment is changing. I just learned this winter that banks no longer provide credits for investments in ski resorts below 1500 meters in Switzerland simply because there’s too little chance of snow. These are just small signs that we are facing a serious issue that demands action from governments and society. But that won’t be enough – we have to take responsibility as individuals and we have to be involved as companies, too.
Q: What role can Ericsson play to shape a more sustainable society?
A: Ericsson can play a role through our advanced communications technology and solutions. With great communications, people don't need to travel as much. Maybe we can't eliminate travel, but at least we can limit the growth of travel. In our globalized society, we work increasingly in international teams, located in different parts of the world. With advanced e-conferencing, we can communicate in such a realistic way that it feels like we have met.

Communications can also pave the way for more sustainable cities and infrastructures. Ericsson is today providing solutions in a number of places around the world that bring broadband services to cities through metropolitan-area, fiber-optic telecommunications networks, linking government offices, hospitals, schools and universities, cultural and sporting centers as well as the police force and fire service. This makes possible initiatives like e-government and e-health.
Q: Does advanced communications offer similar opportunities in emerging markets?
A: Absolutely. I think advanced communications are even more important in emerging markets where logistics and transport are more difficult. I remember when I worked in Egypt in 1979, the limited telecommunications at that time meant I had to travel a couple of hours simply to find out if the customer was there. If I was lucky, I could book a meeting and then, once I was home, send a telex to tell my colleagues from Sweden to come for a meeting. When we arrived, the customer was not there, so we had to book another meeting. Today, mobile communications makes the situation dramatically different.

For example, mobile broadband speeds equal to those on a fixed line can be provided cost efficiently and easily to those living in rural areas. In South Africa, we have provided MTN, one of our customers, with a high-speed network solution (HSPA) in a poor township. Among other things, this provided an Internet café with broadband, enabling easy access to job sites.

We're also involved in two research activities. Together with the Royal Institute of Technology in Stockholm at the Center for Sustainable Communications we are looking at the importance of communication for sustainable development. With the Stockholm School of Economics and China Center for Economical Research at Peking University we have established a competence center in Stockholm looking at China's economic development, with the environment and sustainable development as one of the main research topics.
Q: How do Ericsson’s products and solutions help our customers reduce their CO2 emissions?
A: Well, let me give you a couple of examples of what we do to reduce CO2 emissions together with our customers. The new generation of WCDMA radio base stations from 2008 will use 80 percent less energy than the ones we installed in 2001. We are also offering a standby option for our GSM radio base stations that when used for our entire installed base would save up to a million tons of CO2 emissions per year, or actually 10 million tons over the average lifetime of the equipment.

We're also working on how to fuel our radio base stations in emerging markets. For example, we are piloting a project in Nigeria using biofuels. This pilot addresses challenges around providing coverage in areas off the electricity grid. At the same time, biofuels are an alternative energy source that reduces CO2 emissions.
Q: What are the key risks of inaction, for Ericsson and for society? What are the opportunities?
A: It is not a question of risks and opportunities; I don't think we should view it that way. We simply need to act. Members of our management team met the chief of an Indian tribe from North America not long ago who shared with us that every decision taken in the tribe must be considered in terms of its impact on seven generations. That kind of perspective makes it very clear that society has become too shortsighted. We have a responsibility to future generations. It is in our hands.
Q: What gives you hope that we can meet the challenge of climate change?
A: Climate change is certainly one of the greatest challenges the world has faced. This creates a lot of anxiety among people, and it can seem overwhelming. But there is also hope and there are signs that I think are very positive. Awareness has grown tremendously over the past few years, not just among individuals but also among politicians and companies all over the world. Together, as private individuals, with government commitment and with large companies taking a role, if we all pull in the same direction, we can make a difference - and we can't forget the role that technology can play.
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