Korean vendor Samsung, better known for its success with devices than networks, has announced the creation of a new division tasked with breaking into the European LTE network equipment market.
Swedish vendor Ericsson, the leading supplier of infrastructure and services to the mobile operator community, has reported second quarter profit of SEK2bn (US$274m), up from SEK800m for the same period in 2009. But despite the surge in income, the company’s share price took a five per cent tumble in response the announcement as Ericsson fell some way short of analyst expectations.
Swedish infrastructure vendor Ericsson has reported a 30 per cent drop in profits for the first quarter of this year, netting SEK1.3bn ($180m) for the three months to end March, compared to SEK1.8bn for the same period in 2009. CEO Hans Vestberg said a slowdown in infrastructure sales was partly to blame, and the firm was also impacted by ongoing restructuring costs.

All across the world service providers are accelerating the speed and pace of their business transformation programs. Such transformations are extremely complex and imply a direct involvement at the Board and C-level (CEO, CFO, CIO, CTO, COO, CMO). Facing this complexity, the most critical risk for service providers is inertia.
The chief executive officer of CSL, Hong Kong’s first-placed mobile carrier, has predicted that Chinese vendors will come to dominate the global mobile infrastructure market.
Published by Alcatel-Lucent
Both fixed and mobile telecom operators are facing new competitive challenges as they shift their focus from the network to developing retail business and content partnerships. Among the strategies they can adopt are: invest in fiber to the home in order to offer quadruple play services; converge their current and future customer offerings; and
separate their network and service operations. In addition, the fierce competitive environment will drive increased merger and acquisition activity as well as the formation of partnerships between organizations that previously viewed themselves as separate entities – for example, fixed and wireless companies.