2008-09-11

Ericsson to design, build and manage complete mobile network for Cable&Wireless

Ericsson (NASDAQ:ERIC) has been selected as sole supplier to supply and operate a complete GSM mobile network for Cable&Wireless EAUS (Europe, Asia and US) as it launches its new Fixed Mobile Convergence (FMC) services in the UK. As Cable&Wireless' exclusive managed services partner, Ericsson will also be responsible for running the network for five years.

Under the agreement, Ericsson will supply a complete core and radio-access network, based on small and low-power GSM base stations. The solution is designed to provide indoor fixed and mobile coverage for enterprise users, and allows for seamless roaming between the Cable&Wireless GSM solution and national roaming partners when moving outdoors. Network connectivity is provided by connecting the GSM base stations directly to existing enterprise data networks, using IP network solutions provided by Cable&Wireless. Ericsson will also supply a service-layer network with solutions for service provisioning, SMS and voicemail to enable Cable&Wireless to launch complete FMC services to its customers.

The contract will allow Cable&Wireless to deploy new services rapidly and cost-effectively whilst optimising its existing infrastructure. Cable&Wireless has announced Tesco as its first corporate customer for its new FMC service. FMC will enable Tesco staff to use one mobile handset for all calls, switching between mobile and fixed line calls seamlessly.

Because FMC is integrated with Cable&Wireless' fixed voice and data network, greater value can be offered through attractive commercial models that break the traditional boundaries between fixed and mobile.

In addition to operating and managing the GSM network for five years, Ericsson will provide Cable&Wireless with a wide range of professional services, including design and systems integration.

Jim Marsh, Chief Executive Officer, Cable&Wireless Europe, Asia and the US, says: "Ericsson's proven expertise in mobile technologies and network operations will provide us with a high-performance, quality solution to control operating costs and enable us to bring compelling services for our customers, such as FMC, to market."

Jacqueline Hey, President of Ericsson UK, says: "This agreement establishes an exciting position for Cable&Wireless and will provide its customers with innovative and attractive solutions. The deal also reflects the close strategic partnership between Cable&Wireless and Ericsson, and we are proud to be selected as the supplier for this network and managed services contract."

Information about the company: Telefon AB LM Ericsson