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Broadband is fastest growing segment in telecom, says Ericsson CEO

Posted: 12 May 2006 ?? ?Print Version ?Bookmark and Share

Keywords:Broadband? telecom? Ericsson?

Broadband is now the fastest growing segment in the entire telecom industry, said the president and CEO of Ericsson recently at the Capital Markets Day in New York.

"Broadband is becoming a basic necessity in today's information society. The strong subscriber growth continues in both mobile networks and in fixed broadband. Indeed, we will reach three billion mobile subscriptions by 2007," said Ericsson President and CEO Carl-Henric Svanberg.

Users depend on being connected to communication and media services, such as TV and music, anywhere they may be. In addition, operators see broadband as a key enabler to generating revenue from these services.

Svanberg added that the increase in data traffic over broadband networkswith both fixed and mobile accesswill lead to a substantially greater demand for capacity to handle that increase in volume.

"All-IP is necessary to support new multimedia services in the broadband networks and to expand the networks in a cost-efficient way," Svanberg said. "With our mobile softswitch solution, operators can evolve smoothly towards IMS and all-IP, while actually cutting operating expenses for the core network in half."

Svanberg concluded that Ericsson will continue to expand its market position in four areas: "We will continue to grow in mobile networks and expand our geographic footprint for future revenues. We will lead the broadband transformation, driving the upgrade to mobile broadband and taking a leading position in fixed broadband. We will continue to modernize core networks with softswitching and IMS, and we will expand our leading position in telecom services."




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