How Does Ericsson View the 5G Space?



Ericsson collaborates with SK Telecom and Deutsche Telekom

In 2Q16, Ericsson (ERIC) partnered with leading telecom operators SK Telecom and Deutsche Telekom to deploy what it called the “world’s first transcontinental 5G trial network.” Ericsson stated that it will be the sole infrastructure supplier to the partnership.

According to Ericsson’s press release, the three firms will deploy a trial network in South Korea (EWY) and Germany (EWG). This network will use key 5G technologies such as Network Functions Virtualization (or NFV), software-defined infrastructure (or SDI), and distributed cloud and network slicing.

The three companies will collaborate on the development of the 5G ecosystem, global market promotions, and potential standardization activities.

Alex Jinsung Choi, CTO and the head of the corporate R&D center for SK Telecom, saids, “5G is very different from its predecessors in that the system is built as a platform to provide tailored services optimized for individual customer’s needs, at a global scale.

“Through this three-party collaboration, we will be able to better understand and build a 5G system that can provide consistent and enhanced user experience across the globe.”

Article continues below advertisement

5G to drive IoT growth

Among these products and services, 5G subscriptions are expected to provide enhancements in mobile broadband services. It will also drive growth in the IoT (Internet of Things) space. The US, China, Japan, and South Korea are expected to be the first countries where 5G subscriptions will be available.

Ericsson has also partnered with Intel (INTC) and Cisco (CSCO) in the 5G routing space.


More From Market Realist