Ericsson launches managed capacity solution combining managed services and infrastructure

Ericsson today launched a managed capacity solution to reduce operators' total cost of ownership for networks. By combining its strengths in infrastructure and managed services, Ericsson delivers and manages network capacity when and where operators need it. As a result, operators grow their business and evolve their networks efficiently, and they are free to focus on their customers and business development. The solution, created in close cooperation with customers, is a part of Ericsson's industry-leading managed services offering.
Press release
Feb 16, 2005 08:27 (GMT +00:00)
Under a managed services agreement, Ericsson will continuously deliver telecom infrastructure and services based on operators' capacity and coverage requirements. By partnering with Ericsson, operators will reduce over- and under-capacity, and are able to buy and pay for expansion of coverage and capacity according to market demand. Ericsson can also facilitate the set-up of financial solutions to even further improve operators' cash flow.

 "We are now launching the managed capacity solution to fixed and mobile operators across the world, and we see a great interest from our customers for this way of doing business." said Hans Vestberg, Executive Vice President, Business Unit Global Services, Ericsson. "It benefits both operators in high-growth markets that need efficient buildout of network coverage and capacity, as well as operators in developed markets facing technology migrations or consolidation."

In addition to making it possible to deploy networks quickly and efficiently, the managed capacity solution reduces other network-specific parts of operators' total ownership costs. Operational expenditures, such as day-to-day operations and maintenance, site-rental and transmission, are reduced as Ericsson assumes full responsibility for managing the network.

Innovative network solutions such as Ericsson Expander can be included to further reduce costs. The Ericsson Expander solution enables operators to minimize the number of sites through superior coverage, thus drastically reducing operational and capital expenditures, whilst maintaining network performance and quality of service. A managed capacity solution can also utilize other cost-efficient network solutions such as layered architecture.

The managed capacity solution is set up in alignment with the operator's business plan. This ensures the operator retains full control over coverage and capacity expansions in line with market demand, as well as over the level of service quality necessary to satisfy the consumers.

"By combining Ericsson's industry leadership in managed services and our superior network infrastructure, we provide operators with a significant cost advantage as a driver for future improved shareholder value," said Vestberg. "Operators can focus even more on business development, creating new growth opportunities and strengthening their market positions."

Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world.


Josephine Edwall-Björklund, Group Function Communications
Phone: +46 70 519 16 98, +46 8 719 69 92
About Ericsson's Managed Services offering
Ericsson's managed services offering covers management of day-to-day operations of a customer's network and can also include managed capacity for efficient network build out wherever and whenever needed, as well as hosting of applications and content management. As the undisputed industry leader in managed services, Ericsson has officially announced 35 managed services contracts with operators worldwide since 2002. In all current managed services contracts, excluding hosting, Ericsson is managing networks that together serve over 35 million subscribers worldwide.