Swisscom users to benefit from LTE and mobile-network modernization

• Swisscom, Switzerland's largest mobile and fixed operator, extends its partnership with Ericsson for mobile-network modernization and upgrade to LTE
• Modernization will cater for future mobile-data growth, expected to double every twelve months
• As part of the five-year contract, Ericsson will modernize 6,000 mobile sites and optimize networks

Swiss consumers are enjoying data-rich services like never before. With mobile-data usage expected to double during the year, Swisscom has entered into a five-year contract with Ericsson (NASDAQ:ERIC) for mobile-network modernization and upgrade to LTE. The deal will ensure that Swisscom can continue to offer its users the best possible network in the most efficient way.

Ericsson will modernize 6,000 mobile sites with its RBS 6000 multi-standard radio base stations and optimize all of Swisscom's networks. The operator's mobile-data users all over the country - and especially those living in areas where traffic is dense, such as in inner cities - will benefit from faster speeds as a result.

By making Ericsson the sole supplier for the modernization of its existing mobile-core and radio network, and the introduction of LTE, Swisscom extends its existing partnership, in which Ericsson has been the sole 2G, 3G radio and main mobile core supplier.

Heinz Herren, Head of Network & IT, Swisscom, says: "By continuing to provide our subscribers with the best network possible while meeting the growing usage of mobile data, we will invest several hundred million Swiss Francs in mobile-network modernization over the next five years. Thanks to our long-lasting partnership, we are familiar with Ericsson's expertise in deploying new technologies, and we have already established processes that will allow us to make savings in this project."

Anders Runevad, Head of Region Western & Central Europe at Ericsson says: "We are pleased to help Swisscom introduce LTE and allow its users to enjoy the benefits of LTE on their smartphones, laptops and tablets. As Ericsson sees mobility and broadband as pillars of the Networked Society, in which everyone and everything is connected, this extended partnership marks yet another step towards realizing that vision."

Under the five-year contract, Ericsson will deliver core network, multi-standard radio base stations for 2G, 3G and 4G, as well as related installation services for the swap of the existing infrastructure. This includes software, hardware and the introduction of small cells, mostly in traffic-dense areas. With this deployment Swisscom will have GSM, WCDMA and LTE access networks. A key component in the core network is therefore Ericsson's SGSN-MME node, which supports all three access technologies.The rollout will start in January 2012 and all mobile sites will be modernized by mid 2014.

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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 NASDAQ OMX, Stockholm and NASDAQ New York.

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