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Ericsson CEO say's merger will help UMTS in Wireless Topics; "TelephonyOnline.com, Nov 11 2004 SAN DIEGO--Ericsson CEO Carl-Henric Svanberg today ..."




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Old 11-16-2004, 8:41 PM     #1
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Default Ericsson CEO say's merger will help UMTS

TelephonyOnline.com, Nov 11 2004


SAN DIEGO--Ericsson CEO Carl-Henric Svanberg today said now that Cingular and AT&T Wireless have finalized their acquisition, the carriers can accelerate their UMTS deployments in the U.S. and can go forward catching up Verizon Wireless and Sprint’s CDMA 2000 EV-DO rollout.

"We have been suffering from the standstill of Cingular and AT&T Wireless, but now that the merger is completed we expect things to return to normal," Svanberg said, speaking at an Ericsson-sponsored financial analysts conference here.

Since the companies announced their merger plans earlier this year, spending on new network equipment from the two largest customers in Ericsson’s largest global market had fallen off considerable as the two waited for approval from federal regulators, Svanberg said. Though AT&T Wireless launched UMTS services in six markets, the rollout was largely to meet an investment stipulation required by NTT DoCoMo to launch 3G networks in the U.S. Since then, AT&T Wireless has not committed to launching any more markets, and Cingular had only announced trials of Lucent’s UMTS and HSPDA equipment without committing to a commercial rollout.

With the acquisition approved, however, the carrier is free to proceed with a 3G strategy, though the integration of the two disparate networks and businesses could eat up a good deal of the company’s resources for the next year. Despite whatever integration issues the new Cingular faces though, it is facing fierce 3G competition from its two biggest new competitors, Sprint and Verizon. Verizon Wireless is rolling out EV-DO service in 14 markets and plans to extend the service nationwide in 2005, while Sprint has committed to launching EV-DO all at once that same year.

Any 3G move by Cingular is expected to benefit Ericsson enormously. Cingular is already one of Ericsson’s largest customers and Ericsson already has a piece of AT&T Wireless’ UMTS launches.
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Old 11-19-2004, 8:21 PM     #2
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Default Re: Ericsson CEO say's merger will help UMTS

im just wating for the ability to do video calls!!! that's gonna be so cool!!!
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Old 11-19-2004, 8:53 PM     #3
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Default Re: Ericsson CEO say's merger will help UMTS

A bit too blueblooded for me... the prices have to drop significantly for us non-corporate souls to take a nibble....
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