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TELECOM

Ericsson wins Danish 4G contract

Swedish telecom firm Ericsson announced on Monday that it had claimed a contract to supply a a fourth-generation (4G) communications network to Danish operator TDC.

Ericsson wins Danish 4G contract

“Ericsson will roll out a complete 4G/LTE solution, including radio access and core network equipment, as well as managed services,” the company said in a statement.

Fourth generation mobile phone technology was introduced in late 2009 in Stockholm and Oslo by operators TeliaSonera and Ericsson. But its debut has been partially hampered by the absence of telephones compatible with the new standard, which has meant that the offer has been limited to Internet access.

Industry analysts have said the real breakthrough was not likely until 2012-2013.

LTE technology, which is to gradually replace Third Generation systems, enables faster access to mobile Internet services and should support the development of television, videos and photos on mobile phones.

TDC has said it wants to introduce 4G in six cities, including Copenhagen, in January 2011.

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SWEDEN AND UKRAINE

Ericsson suspends all Russia operations indefinitely

Swedish network equipment maker Ericsson said Monday that it was suspending all of its Russian operations over the war in Ukraine for the foreseeable future.

Ericsson suspends all Russia operations indefinitely

The telecom giant already announced in late February that it would stop all deliveries to Russia following Moscow’s February 24 invasion of Ukraine.

“In the light of recent events and of European Union sanctions, the company will now suspend its affected business with customers in Russia indefinitely,” Ericsson said in a statement.

The company added that it was “engaging with customers and partners regarding the indefinite suspension of the affected business.”

“The priority is to focus on the safety and well-being of Ericsson employees in Russia and they will be placed on paid leave,” it said.

READ ALSO: How has Sweden responded to Putin’s war in Ukraine so far?

Hundreds of Western firms ranging from Ikea to Coca-Cola, Goldman Sachs and McDonald’s have stopped operations in the country since the invasion, with French banking group Societe Generale announcing Monday it was selling its stake in Russia’s Rosbank.

Ericsson has around 600 employees in Russia, and is a “major supplier to the largest operator MTS and the fourth largest operator Tele2,” a company spokeswoman told AFP, adding that together with Ukraine, Russia accounts for less than two percent of revenue.

As a result, the equipment maker said it would record a provision for 900 million Swedish kronor ($95 million, 87 million euros) for the first quarter of 2022 for “impairment of assets and other exceptional costs,” though no staff redundancy costs were included.
Ericsson is due to publish its first quarter earnings on April 14.

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