Ericsson provides communications networks, telecom services, and support solutions. The company’s offering comprises services, software, and infrastructure. The networks that the company manages for operators serve approximately 950 million subscribers. The company has approximately 33,000 granted patents, including 1 of the patent portfolios. Segments The company operates through four segments: Networks, Global Services; Support Solutions; and ST-Ericsson SA (ST-Ericsson). NETWORKS This segment develops and delivers network infrastructure for 2G/global system for mobile communications, 3rd generation mobile system/wideband code division multiple access/high speed packet access and code division multiple access, and 4G/long-term evolution with solutions for radio access, based on multi-standard radio base station RBS 6000; Internet protocol (IP) and transport, IP Edge routing based on SSR 8000, and transport solutions based on fiber and microwave; and core network, switching, and IP multimedia subsystem solutions based on the Ericsson Blade System platform. This segment’s offering includes radio access solutions that interconnect with devices, such as mobile phones, tablets, and PCs, as well as the RBS 6000 supports all major standardized mobile technologies; IP and transport solutions based on the SSR 8000 family of products, as well as transmission/backhaul including microwave (MINI-LINK) and optical transmission solutions for mobile and fixed networks; and operations support systems (OSS), supporting operators’ management of existing networks and introduction of new technologies and services. Competitors This segment competes primarily with telecommunication equipment suppliers, such as Alcatel-Lucent, Cisco, Huawei, Juniper, Nokia Siemens Networks, Samsung, and ZTE. GLOBAL SERVICES With 60,000 services professionals worldwide, this segment delivers managed services, consulting and systems integration, customer support, network design and optimization, and network rollout. This segment’s offering comprises: Managed Services: Includes solutions for designing, building, operating, and managing the day-to-day operations of the customer’s network or solution, maintenance, and network sharing solutions, as well as shared solutions, such as hosting of platforms and applications. The company also offers broadcast services and managed services of IT environments. Product-related Services: Includes services to expand, upgrade, restructure, or migrate networks, network-rollout services, customer support, and network optimization services. Consulting and Systems Integration: Includes technology and operational consulting, integration of multi-vendor equipment, design and integration of new solutions, and transforming programs. Industry-specific solutions for vertical industries are also included. Competition The company competes with Accenture, HP, IBM, Oracle, Tata Consultancy Services, and Tech Mahindra. SUPPORT SOLUTIONS This segment focuses on software for OSS and business support systems (BSS), TV and media management, and m-commerce. The company develops and delivers software solutions for OSS and BSS, enabling management of networks and services, customer interaction, and revenue management; TV and media management, enabling operators, broadcasters, and content owners to create multiscreen TV experience on all devices; m-commerce, software solutions, and hosted services to enable mobile financial services and global interoperability. This segment’s offering comprises: OSS: Includes planning, building, and optimizing service fulfillment and service assurance. BSS: Includes revenue management (prepaid, post-paid, convergent charging, and billing), mediation, and customer care solutions. TV Solutions: Includes a suite of open, standards-based solutions and products for the creation, management, and delivery of evolved TV experiences on any device through any network. Also includes a multi-screen TV platform with consumer experience creation, video content management, on-demand video delivery, advanced video compression, and video-optimized delivery network infrastruc
ericsson lm-b shs (ERIXF:OTC US)
Contact Info
Torshamnsgatan 23
Kista
Stockholm, 164 83
Sweden
Phone: 46 1 07 19 00 00
Fax:
www.ericsson.com
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Industry Analysis
ERIXF
Industry Average
| Valuation | ERIXF | Industry Range |
| Price/Earnings | NM | Not Meaningful |
| Price/Sales | 1.1x |
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| Price/Book | 1.9x |
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| Price/Cash Flow | NM | Not Meaningful |
| TEV/Sales | 0.6x |
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