Update on Ericsson’s mobile infrastructure strategy
This report provides an update on Ericsson’s mobile infrastructure strategy at a time when mobile broadband is finally taking off. We believe Ericsson is well positioned to accommodate the different timelines that operators will adopt for LTE worldwide. Ericsson has been able to secure several LTE deals with front-runners such as Verizon Mobile and TeliaSonera. Being selected by the US operator, and with the acquisition of Nortel’s CDMA and LTE assets, Ericsson is well positioned to tap the LTE migration opportunities of 3GPP2 operators. While several CDMA operators are LTE front-runners, many HSPA operators are in less of a rush to go to LTE. That’s certainly not an issue for the Swedish vendor, which will leverage its large UMTS/HSPA installed base to sell HSPA+ software in the meantime.
Executive summary
In a nutshell
Ovum view
SWOT analysis
Strengths
Weaknesses
Opportunities
Threats
Overview of Ericsson’s mobile infrastructure business
Overview of Ericsson’s organisation
Financial performance
Ericsson’s financial performance in the first three quarters of 2009
Ericsson acquires Nortel’s CDMA and LTE businesses
The Ericsson–Nortel deal
CDMA assets strengthen Ericsson’s position in North America
Focus on Nortel’s LTE assets
Ericsson’s blow to NSN
High-level analysis of Ericsson’s mobile infrastructure business strategy
Strong focus on mobile broadband
Green initiatives for Ericsson’s mobile infrastructure
Power consumption optimisation software
New site design
Adoption of alternative power sources
Cost-efficient mobile solutions
Ericsson’s Evo RAN strategy – one radio network for all radio technologies
GSM/EDGE business
Ericsson leads the GSM infrastructure market
Ericsson’s GSM business development strategy to bridge the digital divide
UMTS/HSPA business
UMTS and HSPA+ are here to stay
UMTS and HSPA+ will play a key role in Ericsson’s mobile broadband strategy
Examples of key UMTS/HSPA radio equipment wins at Ericsson
Ericsson’s mobile core business
Mobile softswitch and media gateway products
GGSN and SGSN products
Policy management becoming critical in the mobile broadband context
TD-SCDMA business
Ericsson is far behind local vendors for TD-SCDMA
Ericsson has to be active in TD-SCDMA because of the future TD-LTE market opportunity
LTE/SAE business opportunity
Insert heading 3
Ericsson’s LTE portfolio
Ericsson’s SAE/EPC portfolio
In a nutshell
Ovum view
SWOT analysis
Strengths
Weaknesses
Opportunities
Threats
Overview of Ericsson’s mobile infrastructure business
Overview of Ericsson’s organisation
Financial performance
Ericsson’s financial performance in the first three quarters of 2009
Ericsson acquires Nortel’s CDMA and LTE businesses
The Ericsson–Nortel deal
CDMA assets strengthen Ericsson’s position in North America
Focus on Nortel’s LTE assets
Ericsson’s blow to NSN
High-level analysis of Ericsson’s mobile infrastructure business strategy
Strong focus on mobile broadband
Green initiatives for Ericsson’s mobile infrastructure
Power consumption optimisation software
New site design
Adoption of alternative power sources
Cost-efficient mobile solutions
Ericsson’s Evo RAN strategy – one radio network for all radio technologies
GSM/EDGE business
Ericsson leads the GSM infrastructure market
Ericsson’s GSM business development strategy to bridge the digital divide
UMTS/HSPA business
UMTS and HSPA+ are here to stay
UMTS and HSPA+ will play a key role in Ericsson’s mobile broadband strategy
Examples of key UMTS/HSPA radio equipment wins at Ericsson
Ericsson’s mobile core business
Mobile softswitch and media gateway products
GGSN and SGSN products
Policy management becoming critical in the mobile broadband context
TD-SCDMA business
Ericsson is far behind local vendors for TD-SCDMA
Ericsson has to be active in TD-SCDMA because of the future TD-LTE market opportunity
LTE/SAE business opportunity
Insert heading 3
Ericsson’s LTE portfolio
Ericsson’s SAE/EPC portfolio
LIST OF TABLES
Table 1: Examples of operators using solar-powered solutions from Ericsson
Table 2: Ericsson’s top ten markets (% of total revenues)
Table 3: Selected vendors’ public HSPA+ rollouts, trials and plans (as of 3Q09)
Table 1: Examples of operators using solar-powered solutions from Ericsson
Table 2: Ericsson’s top ten markets (% of total revenues)
Table 3: Selected vendors’ public HSPA+ rollouts, trials and plans (as of 3Q09)
LIST OF FIGURES
Figure 1: Ericsson organisational business structure
Figure 2: Segment split of Ericsson’s quarterly revenues since 1Q08
Figure 3: Ericsson’s North American business post-acquisition
Figure 4: Ericsson’s vision of broadband evolution
Figure 5: Ericsson’s energy-efficiency goals for its GSM and WCDMA BTS, 2005–08
Figure 6: Evolution of annual CO2 emissions per subscriber using Ericsson’s equipment
Figure 7: Ericsson Tower Tube
Figure 8: Non-exhaustive list of deployed green sites by Ericsson
Figure 9: Ericsson’s Evo RAN approach
Figure 10: Ericsson’s roadmap for HSPA/HSPA+
Figure 11: From 18 regional MSC Servers to one MSC Server Blade Cluster pool
Figure 12: Ericsson’s strategy to introduce LTE support in the RAN
Figure 13: Ericsson’s RBS 6000 series
Figure 14: Ericsson’s evolved packet core portfolio
Figure 1: Ericsson organisational business structure
Figure 2: Segment split of Ericsson’s quarterly revenues since 1Q08
Figure 3: Ericsson’s North American business post-acquisition
Figure 4: Ericsson’s vision of broadband evolution
Figure 5: Ericsson’s energy-efficiency goals for its GSM and WCDMA BTS, 2005–08
Figure 6: Evolution of annual CO2 emissions per subscriber using Ericsson’s equipment
Figure 7: Ericsson Tower Tube
Figure 8: Non-exhaustive list of deployed green sites by Ericsson
Figure 9: Ericsson’s Evo RAN approach
Figure 10: Ericsson’s roadmap for HSPA/HSPA+
Figure 11: From 18 regional MSC Servers to one MSC Server Blade Cluster pool
Figure 12: Ericsson’s strategy to introduce LTE support in the RAN
Figure 13: Ericsson’s RBS 6000 series
Figure 14: Ericsson’s evolved packet core portfolio
