SOURCE: Ericsson

May 14, 2008 06:45 ET

Carl-Henric Svanberg states that Ericsson's vision of communications for all is rapidly becoming a reality

STOCKHOLM, SWEDEN--(Marketwire - May 14, 2008) -


Today at Ericsson's (NASDAQ: ERIC) Capital Markets Day in Stockholm, President and Chief Executive Officer, Carl-Henric Svanberg spoke about Ericsson's position and the company's vision going forward which will increasingly focus on broadband, multimedia services and network transformation.

Svanberg said: "We are advancing our vision now that basically anyone who wants a mobile phone will soon be able to have one. We envision an all communicating world where the majority of people everywhere will have access to information and the ability to share it instantly, whenever and wherever they want. We aim to do the same for broadband what we have already done for telephony - make it mobile, available and affordable for the majority of the world's population."

Ericsson anticipates that by 2013, there will be some 6.5 billion mobile subscriptions and over two and a half billon broadband subscriptions of which more than two-thirds will be mobile. Growth of broadband implies increasing demand for expanded network capacity and functionality going forward.

"Since the introduction of GSM fifteen years ago, network operators have deployed some three million radio base stations. Another couple of million radio base stations will be needed over the next five years just to provide the network coverage for the expected increase in mobile subscriptions. In addition, the capacity and functionality of the current installed base will need to be expanded and upgraded to accommodate the continued growth anticipated for mobile broadband traffic," said Svanberg.

The management team emphasized Ericsson's technology leadership, scale advantage and global presence as essential to the company's ability to outpace the market growth. Ericsson is also preparing for future opportunities with increased R&D which will amount to USD 25 b. over the next five years, and with an increasing portion of R&D within software. This has been complimented with acquisitions within the high growth areas of systems integration, multimedia, IP routing, broadband access and transmission.

The market trends in different regions and market dynamics were also discussed along with the challenges and opportunities that they bring to the company.

Ericsson had the honor to welcome Boris Nemsic, CEO Telekom Austria and Mobilkom Austria, and Mads Middelboe, CEO TDC Mobile Nordic, as speakers to the Capital Markets Day.

Sony Ericsson's Executive Vice President and head of Sales Anders Runevad, also participated as a speaker.

Other featured Ericsson speakers at the Capital Markets Day included Hans Vestberg, Chief Financial Officer; Kurt Jofs, Executive Vice President, head of business unit Networks; Jan Frykhammar, Senior Vice President, head of business unit Global Services and Jan Wäreby, Senior Vice President and head of business unit Multimedia.

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 195 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 and NASDAQ stock exchanges.

For more information, visit www.ericsson.com or www.ericsson.mobi.

FOR FURTHER INFORMATION, PLEASE CONTACT

Media
Ericsson Media Relations
Phone: +46 8 719 69 92
E-mail: press.relations@ericsson.com

Investors
Ericsson Investor Relations
Phone: +46 8 719 00 00
E-mail: investor.relations@ericsson.com

Press release (PDF): http://hugin.info/1061/R/1219077/255722.pdf

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