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Technology Stocks : Ericsson overlook?
ERIC 9.400+0.1%2:46 PM EST

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To: P2V who wrote (3250)5/24/1999 11:26:00 AM
From: P2V  Read Replies (2) of 5390
 
An EDGE Review ----
BTW "GSM is Toast" may apply to Yanks such as myself,
but to Texans (eg JGoren) i think "GSM is Biscuits and Gravy"
would be more appropriate.
Best to all,
Mardy

Date: Thursday, March 18 1999

Ericsson takes another breakthrough step into wireless multimedia with its
EDGE technology for 3G in existing spectrum. EDGE enables services like
multimedia e-mailing, web infotainment and video conferencing to be
efficiently accessible from wireless terminals. Ericsson is demonstrating its
EDGE technology at CeBIT. Commercial introduction could start in less than two
years.

EDGE (Enhanced Data Rates for Global Evolution) is designed for
migration into existing GSM and TDMA networks, enabling operators
to offer multimedia and other IP-based services at 3G speeds
up to 384 kbps in wide area networks.

An important attraction of EDGE is the smooth evolution and upgrade of
existing network hardware and software, which can be introduced into an
operator's current GSM or TDMA network in existing frequency bands.

This means GSM and TDMA operators are well positioned to capitalize on high-
speed, wireless IP-based services through a staged evolution of their existing
networks. EDGE can be introduced in steps into the network, starting with
high-capacity areas such as dense city areas, airports, etc., and expanded as
market and user needs increase. The EDGE standard for GSM and TDMA (referred
to as 136HS by the UWCC) is expected to be set late this year.

Ericsson is already providing, both packet switched and circuit switched,
total solutions moving toward 3G speeds over GSM and TDMA networks.

GPRS (General Packet Radio Services) technology enables users to get speeds of
up to 115 kbps. With the EDGE enhanced air interface, these will further
evolve to 3G speeds.

A packet switched mobile network is also a pre-requisite for an operator to
fully utilize the EDGE technology. This makes GPRS a vital step towards packet
switched mobile networks. Investments in GPRS are also leveraged when
introducing 3G capabilities by adding EDGE radio access solutions.

The Internet handles mobile Web services over a GPRS enhanced network just as
a regular wired LAN does. In practice, the mobile network becomes a subnet to
the global Internet. This addition of mobility to Web services further
increases the business opportunities for operators and the value of high
quality service for users.

GPRS is the common set of standards for the packet data services in both TDMA
and GSM networks. It provides seamless end-to-end Internet connectivity to
wireless terminals and will be introduced commercially next year. Ericsson
signed the world's first GPRS contracts in early 1999.

TDMA and GSM operators will be able to deliver services with 3G speeds within
their existing frequency bands using EDGE technology. In parallel, Ericsson
offers operators WCDMA (Wideband Code Division Multiple Access) systems. WCDMA
is designed from the beginning to handle high data rates in wide area networks
and is primarily intended for the new frequency band at 2GHz. TDMA and GSM
operators may also choose to use WCDMA in existing frequencies based on
spectrum availability.

Ericsson is currently sharing its 3G knowledge with operators and other
stakeholders via experimental systems in Canada, Germany, Italy, Japan, UK,
USA and Sweden.

These full-fledged systems are being used to experiment with delivery of new
services, leveraging Ericsson's more than 10 years of research in 3G
technologies. Experimental systems in the US and Canada have a special focus
on EDGE technology for TDMA operators. Ericsson also has a WCDMA cooperation
agreement in China.

Ericsson is the leading provider in the new telecoms world, with
communications solutions that combine telecom and datacom technologies with
freedom of mobility for the user. With more than 100,000 employees in 140
countries, Ericsson simplifies communications for its customers - network
operators, service providers, enterprises and consumers - the world over.

FOR FURTHER INFORMATION, PLEASE CONTACT

Jonas Näslund, Product Manager, New RBS Products
Ericsson Business Unit GSM Systems
Phone: +46 8 757 3176, +46 70 634 6885

Andrew Duxfield, Product Business Development
Ericsson Business Unit TDMA Systems
Phone: +46 8 5853 1858, +46 70 316 5819

Johan Wiklund, Ericsson Corporate Communications
Phone: +46 70 560 0134; E-mail: johan.wiklund@lme.ericsson.se

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