Ericsson signs major managed services agreement with Saudi Arabian operator Mobily

Press release
Mar 13, 2008 10:34 (GMT +00:00)
Ericsson (NASDAQ:ERIC) is selected as managed services partner by Mobily, a Saudi Arabian mobile operator, a member of the Etisalat Group. The 3-year multivendor agreement is the largest managed services agreement for Ericsson in the Middle East and one of the largest in the industry in the region.

Under the agreement, Ericsson will be responsible for network operations, field operations and optimization as well as the spare parts management. The agreement also makes Ericsson responsible for site maintenance of Mobily's entire multi-vendor network.

The managed services agreement will enable Mobily to significantly reduce operational expenses, whilst Ericsson ensures high quality and predictable performance of the network. Mobily will retain ownership of the network and responsibility for its strategic direction.

Jan Frykhammar, Senior Vice President and Head of Business Unit Global Services, Ericsson says: "Ericsson has been working with Mobily and the Etisalat Group for several years now and it's an honor to be chosen as a managed services partner for their network. With Ericsson running the operations of the network, Mobily will be able to allocate even more time and focus on customer-facing activities."

Ericsson and Mobily partnership dates back to 2005. Since then, Ericsson has been the main supplier of network equipment and related telecom services to the operator.

Ericsson is the world's leading provider of technology and services to telecom operators. The market leader in 2G and 3G mobile technologies, Ericsson supplies communications services and manages networks that serve more than 185 million subscribers. The company's portfolio comprises mobile and fixed network infrastructure, and broadband and multimedia solutions for operators, enterprises and developers. The Sony Ericsson joint venture provides consumers with feature-rich personal mobile devices.

Ericsson is advancing its vision of 'communication for all' through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 70,000 employees generated revenue of USD 27.9 billion (SEK 188 billion) in 2007. Founded in 1876 and headquartered in Stockholm, Sweden, Ericsson is listed on the Stockholm, London and NASDAQ stock exchanges.

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About Ericsson's managed services offering
Ericsson has the telecom industry's most comprehensive managed services offering. It ranges from designing, building, operating and managing day-to-day operations of a customer's network, including end-user services and business support systems, to hosting service applications and content, as well as providing network coverage and capacity on demand. As the undisputed leader in managed services, Ericsson has officially announced more than 100 managed services contracts with operators worldwide since 2002. In all current managed services contracts, excluding hosting, Ericsson is managing networks that together serve more than 185 million subscribers worldwide.