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Ensuring growth in telecom ecosystems 
The definition of a telecom ecosystem might be blurry but the concept is far from irrelevant. It helps to clarify the balance of the value chain as well as each player’s role in maintaining a healthy industry.

Telecom ecosystems were easier to define in the days of monopolies and nationalized postal, telegraph and telephone organizations (PTTs). Nowadays, they include everything from developers and devices to Google and billing systems. Jörgen Lantto works with systems management within multimedia at Ericsson. He says: "Telecom ecosystems aren't really about the survival of the fittest - it's about the survival of those who are best at adapting." And he sees this as one of Ericsson's key strengths.

"Unlike ecosystems in nature, Ericsson hasn't relied on organic growth. Creating viable ecosystems is about having a portfolio that extends beyond our normal customers and addresses those companies we'd like to engage with. Recently we've grown by making strategic acquisitions to strengthen our portfolio."

Lantto says all the players in the industry must consider new business models that can support the establishment of the ecosystems they create.

"A concrete example of Ericsson's position in the multimedia ecosystem is the launch of the open IPTV forum together with Sony and other industry players," he says. "The idea is to bridge the consumer electronics and the telecommunications industries so that operators can launch new and compelling services combining TV with communication. The unique situation we're in results from our relationship with Sony and the joint venture we've established with Sony Ericsson."

Patrik Regårdh, who works with strategic marketing at Ericsson, says that there are different production cycles in Ericsson's business. "We have the heavy infrastructure development that may run for a couple of years, then we have smaller, more immediate content and service projects that move much more quickly. We need to be able to react to market changes and lead these."

Regårdh says that Ericsson's prime role is to support its customers in developing their business models and their networks while preserving their business interests. "This means teaming up with other players in the media industry, then creating new constellations that consist of technical solutions, as well as new ways of introducing the business relationships and models into the picture. IPX is an example of that, where we broker the payment between the market content and the external interest with a multitude of operators. This is one way Ericsson acts as a facilitator in the new ecosystem."

Regårdh agrees with Lantto and says that for many of these sub-ecosystems, trial and error and an ability to adapt will determine which companies survive. Regårdh says: "This is how things will work in the new ecosystem. Development is incremental, where a lot of the players take small steps to create great momentum and take the industry forward."

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