Ericsson North America

October 11, 2011 09:12 ET

Ericsson Launches in Application Payment to Give Consumers More Payment Choices

STOCKHOLM, SWEDEN--(Marketwire - Oct 11, 2011) -

* In Application Payment makes paying easy, fast and safe for both consumers and application retailers. Easy for the retailer to change prices to quickly respond to market * Makes it simple to adapt to the payment complexity of different carrier networks around the world * Supports a range of payment option for the consumer, such as try before you buy, In app purchase and virtual currencies

Ericsson (NASDAQ: ERIC) announced today the launch of its In Application Payment service based on their IPX service platform which is integrated to over 120 carriers. With In app payment, a consumer in a game or other application can now with one click, rapidly complete a purchase without leaving the application, without having a credit card and without using anything else but their mobile phone. Simplifying the payment options to the consumer should reflect on increasing numbers of conversion to purchase.

Adam Kerr, Head of Ericsson's M Commerce business, says "People are spending increasing amounts of time and money on applications. Research firm Ovum projects that revenues from paid mobile apps will top USD 3.7 billion in 2011 and expects this to increase to USD 7.7 billion in 2016. In order to reach these kinds of numbers it's got to be easy for the consumer."

In app payment opens applications to many more buyers and allows retailers to flexibly offer a range of payment models. These include try before you buy as well as rental and subscription models. The model can be applied to game levels, maps, and digital content such as music, books and other in-application assets. For very small payments measured in cents, a virtual currency can be used.

For the applications developer or content provider the flexibility of wrapper technology and an SDK (Software Development Kit) now make it simple to offer alternative payment methods within their applications. Furthermore the In application service automatically adjusts to the many different technical payment options used by mobile networks globally and makes it easier for them to retail applications over networks in many different countries.

Notes to editors:

About Ericsson Payment Exchange solution

Ericsson Internet Payment Exchange (IPX) is a global mobile commerce and connectivity enabler. As a carrier/operator payment broker with connections to more than 100 network operators, Ericsson provides delivery and charging, using direct billing, premium SMS, Web and online mobile payment. Customers include more than 1000 successful multinationals reaching consumers with high disposable incomes in many countries across the globe.

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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 NASDAQOMX, Stockholm and NASDAQ New York.

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Source: Ericsson North America via Thomson Reuters ONE


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