Ericsson To Support Rural Wireless Internet Service Providers
Zacks Investment Research | Oct 15, 2019 09:35PM ET
Ericsson (BS:ERICAs) (NASDAQ:ERIC) recently collaborated with Xtreme Enterprises to offer support services to rural Wireless Internet Service Providers (WISPs) across the United States. Per the deal, Ericsson will provide its industry-leading radio system for use across Xtreme Enterprises' network solution and service portfolio to deliver stable broadband speed and reliability of data usage.
Over the years, Xtreme Enterprises – a Pennsylvania-based Internet connectivity services provider – has carved a niche market for providing network capabilities to WISPs. With Ericsson’s state-of-the-art LTE equipment, it aims to facilitate the WISPs to extend coverage by reaching more customers with higher speeds. In particular, it will offer Ericsson's Micro Radio 2208, which delivers the highest allowable power output for outdoor deployments, for Citizens Broadband Radio Service.
Ericsson Micro Radio 2208 ensures robust, wide-area coverage and capacity. Notably, the radio system comprises hardware, software and services for radio, antenna system, transport, power, enclosure and site solutions. It provides the required infrastructure to support the burgeoning demand for high-bandwidth connections and supports real-time, high-reliability communication requirements of mission-critical applications.
Buoyed by the strategic partnership, Ericsson aims to reach various underserved markets throughout the country and fill the void created by the trade restrictions on Huawei equipment. With the emergence of the smartphone market and subsequent usage of mobile broadband, user demand for coverage speed and quality has increased in recent times. Further, to maintain superior performance as traffic increases, there is also a continuous need for network tuning and optimization. Ericsson, being one of the premier telecom services providers, is much in demand among operators to expand network coverage and upgrade networks for higher speed and capacity. Notably, Ericsson is the world’s largest supplier of LTE technology with a huge market share. Also, it has established a large number of LTE networks worldwide.
Ericsson is actively pursuing three key areas — core business expansion, targeted growth, and cost and efficiency to fuel growth. The company maintains strong control of its cost position to stay competitive. AI and automation remain key enablers for its future business development. Ericsson remains confident of reaching its long-term target of at least 12% operating margin beyond 2020.
Despite the inherent growth potential, Ericsson’s shares have lost 4.6% against the Original post
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.