- Ericsson to provide and manage LTE network for fixed-wireless broadband in rural and regional Australia for the National Broadband Network (NBN)
- Rural and regional households to start accessing broadband from mid 2012, with completion of the network by 2015
- AUD 1 billion agreement forms part of Australian Government's complete nationwide high-speed broadband network project
NBN Co - established by the Australian Government in 2009 to design, build and operate the national broadband network - has appointed Ericsson (NASDAQ:ERIC) to build and operate a 2.3GHz fixed-wireless broadband network based on LTE technology. It will serve rural Australia with download speeds of up to 12Mbps and upload speeds reaching 1Mbps, representing a significant improvement compared to existing broadband services.
The decision is in line with the Australian Government's vision to develop a high-speed broadband network that is available to the whole population and part of a AUD 36 billion (USD 38 billion) national infrastructure investment.
NBN's new national network will also bring about new possibilities in health and education. High-speed broadband will facilitate the transfer of medical images, remote doctor consultations and the provision of long-distance training for medical professionals. Broadband services will also provide improved access to medical professionals, or medical monitoring services, as well as a richer and more diverse educational experience.
Kevin Brown, Acting Chief Executive Officer, NBN, says: "NBN Co will be offering rural and regional Australians the latest 4G wireless technologies as part of its fixed-wireless service. Fixed wireless will allow us to plan a network for a more predictable number of users in a given area. This gives us greater control over speed and quality of service."
Sam Saba, head of Ericsson in Australia, says: "As the leading 4G technology, LTE has global momentum and its ecosystem is expanding rapidly. Thanks to our services, network offering and support for the widest range of bandwidths and frequency spectrums, we are able to facilitate the efficient delivery of LTE-based broadband services to communities that are usually disadvantaged because of their remote location."
LTE will deliver broadband services - in this case via fixed-wireless home connection devices - that meet NBN's demanding criteria for quality and performance. Fixed-wireless networks are used to connect stationary points - in this case LTE base stations to several households or businesses - enabling NBN Co to deliver a superior end-user experience.
Under the ten-year agreement, Ericsson will provide the LTE network, including radio access, core and transmission as well as related services. Products in Ericsson's extensive portfolio also include the RBS6000 multi-standard radio base station, transmission and Evolved Packet Core solutions.
As part of the agreement, Ericsson will design, build, operate and maintain NBN Co's network end-to-end, including business support systems. This includes service activation, management and assurance as well as network performance and capacity management. Ericsson will also provide a wide range of services such as construction, installation, commissioning and learning services. Network operations will transfer from Ericsson to NBN Co after the initial agreement with Ericsson is completed.
To date, Ericsson has signed commercial LTE contracts with six of the seven top-ranked operators by 2010 global revenue. Ericsson is the prime driver of open standards and has had the most significant impact on the LTE specifications released to date. Ericsson expects to hold 25 percent of all essential patents for LTE, making it the largest patent holder in the industry. Ericsson is the industry leader in managed services managing networks that serve over 800 million subscribers globally.
Notes to editors:
Photos of network equipment including RBS6000: www.ericsson.com/thecompany/press/photolibrary/network_products
Ericsson's key LTE facts, background info and multimedia material available at the media kit at: www.ericsson.com/thecompany/press/mediakits/lte
Our multimedia content is available at the broadcast room: www.ericsson.com/broadcast_room
Ericsson is the world's leading provider of technology and services to telecom operators. Ericsson is the leader in 2G, 3G and 4G mobile technologies, and provides support for networks with over 2 billion subscribers and has the leading position in managed services. The company's portfolio comprises mobile and fixed network infrastructure, telecom services, software, broadband and multimedia solutions for operators, enterprises and the media industry. The Sony Ericsson and ST-Ericsson joint ventures provide consumers with feature-rich personal mobile devices.
Ericsson is advancing its vision of being the "prime driver in an all-communicating world" through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 90,000 employees generated revenue of SEK 203.3 billion (USD 28.2 billion) in 2010. Founded in 1876 with the headquarters in Stockholm, Sweden, Ericsson is listed on NASDAQ OMX, Stockholm and NASDAQ New York.
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