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Technology Stocks : Ericsson overlook? -- Ignore unavailable to you. Want to Upgrade?

To: Mika Kukkanen who wrote (2134)	10/16/1998 4:24:00 PM
From: Alex	Read Replies (1) \| Respond to of 5390

Battle brews for Internet-linked mobile phones By Paul de Bendern STOCKHOLM (Reuters) - A global battle in the mobile phone market loomed Friday as Swedish telecoms equipment maker Ericsson said it would retaliate if U.S. high-tech company Qualcomm Inc (QCOM - news) did not license key technologies to European rivals. ''If Qualcomm does not license us or the industry for whatever reason they claim, that will according to our statement mean we will not license them either,'' Ake Persson, vice-president for marketing and sales at Ericsson Mobile Systems, told Reuters. Ericsson's comments raised the stakes in a dispute between European and U.S. companies over standardization in the telecoms market, as it expands to include data exchange and Internet access. Qualcomm has written to the International Telecommunications Union, or ITU, the global telecom body, saying it would not grant patent rights to companies using a European-backed standard to develop wireless communications products. The European Union has been promoting efforts to set up a common standard for the new products that would mimic the success of Europe's existing GSM mobile phone standard. This new standard, the wide band W-CDMA, draws heavily on a technology pioneered by Qualcomm known as CDMA (Code Division Multiple Access), but Qualcomm says it would not be compatible with the competing standard that it supports-CDMA 2000. Besides Qualcomm, there are two other big equipment manufacturers in the United States -- Motorola and Lucent Technologies, both co-authors of CDMA 2000. But European companies such as Ericsson, Nokia, Siemens AG and Alcatel, which use GSM, favor the W-CDMA standard. U.S. officials have expressed concern that the EU, by backing a common European standard, will exclude competing technologies. Ericsson said it would take the ITU, a United Nations agency, another 12-14 months to decide the issue. ''So there is still time to resolve whatever issues there might be needed to resolve,'' Persson said. But he said W-CDMA was the right standard to use. ''We're actually developing the standards of the products the market is asking us to do... Wide band CDMA is being supported by...85 percent of operators worldwide.'' It was unreasonable for 85 percent of the world's operator community to accept another less capable standard to accommodate a single company, Persson said. ''This is just another cry from Qualcomm,'' he said. ''We're definitely sure this will not harm us.'' The W-CDMA standard has been endorsed by the European Telecommunications Standards Institute (ETSI) -- a body composed mostly of industry representatives that draws up standards for the European market. If Qualcomm convinced the ETSI to reduce the performance capability of the wide band standard, then Ericsson would accept and provide that standard, Persson said. (Reuters/Wired)

To: Mika Kukkanen who wrote (2134)	10/19/1998 10:06:00 AM
From: Mika Kukkanen	Read Replies (3) \| Respond to of 5390

Ericsson signs strategic AXE contract in Egypt Ericsson has signed a strategic contract with Telecom Egypt the government owned telecom operator. The contract valued at USD 30 million (SEK 230 million) is a breakthrough for Ericsson as a supplier of complete telecommunication solutions in Egypt. The contract covers AXE local switches, access networks and Ericsson's operations support system XMATE. The systems will be implemented during 1999. The Egyptian government is currently pursuing an aggressive build out and modernization of the telecommunications network in order to increase the telephone density. The new Ericsson systems will increase the capacity of the telephone network in heavy growth areas in western and southern Cairo, Alexandria and parts of the Nile Delta. "Ericsson has been a partner for the development of telecommunications in Egypt for many years, and we are particularly impressed by the reliable AXE technology which gives us the possibility to install high capacity switches which are necessary in a heavily populated city such as Cairo," says Mr. Abdel Fattah Abou Serie, Chairman of Telecom Egypt. "Furthermore, Ericsson's strong local and global presence gives us assurance of good long-term support," concludes Mr. Abdel Fattah Abou Serie. "With these contracts Ericsson has shown its ability to offer complete solutions based on the new AXE architecture. We are very pleased to have won this contract. It is a first step in becoming one of the main suppliers to Telecom Egypt and underlines our support for the development of telecommunications in Egypt", says Mr. Tommy Johansson, Marketing & Sales Manager at Ericsson Egypt. Ericsson is the leading provider in the new telecoms world, with communications solutions that combine telecom and datacom technologies with the 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. Please visit Ericsson's Press Room at: ericsson.se FOR FURTHER INFORMATION, PLEASE CONTACT Tommy Johansson, Marketing & Sales Manager Ericsson Egypt Phone: +202 303 6524 Ulrika Hotopp, Press Officer Ericsson Business Unit Public Networks Phone: + 6 8 719 9246 or +46 70 328 1642