Ericsson: New Business Models for Mobile Broadband!

New business models possible for mobile broadband:

  • Telkomsel turns to Ericsson for cost-efficient data traffic management solution
  • Better service offerings available to more than 86 million Indonesians, based on their network use and needs
  • Operator can handle traffic more efficiently, ensuring users get the services they pay for, even during network peak hours

With more than 5 billion mobile subscriptions globally and traffic growth skyrocketing, there is a critical need for operators to prioritize traffic in the network and differentiate between subscribers so that each user gets the speed, access and quality they are paying for. Now Indonesia’s leading operator Telkomsel has taken action by being the first to introduce a new Dynamic End-to-End Policy Control solution enabling service differentiation for their 86 million subscribers. The solution will be delivered by Ericsson (NASDAQ:ERIC).

Telkomsel’s efficient utilization of radio and transport networks will be enhanced through deployment of the policy control solution. Ericsson’s data traffic management solution design is based on the principles of supply and demand where available capacity is shared according to subscribers’ different policy agreements. Data traffic is prioritized so that higher-paying subscribers get access, high speed and quality even during network peak hours, while other users receive different priority.

Sarwoto Atmosutarno, President Director of Telkomsel, says: “As traffic is growing with more capacity-demanding services and higher download speeds, we must adjust to our users’ different expectations and needs. With our new solution, subscribers will be able to choose a pricing option that best suits their individual needs, depending on what services or applications they’re using and how much they’re willing to pay.”

Johan Wibergh, head of Ericsson’s Business Unit Networks, says: “The competition is intensifying, and operators need to ensure that users get the quality of service that they expect and are willing to pay for. By customizing the pricing plan for each specific user segment, Telkomsel will improve their operations and business, and most likely attract even more subscribers.”

Ericsson is the supplier and prime system integrator of the complete Dynamic End-to-End Policy Control solution which is verified for a multi-vendor core and radio network environment. Ericsson’s Dynamic End-to-End Policy Control solution is compliant with the 3GPP standard and allows for a smooth migration to the next generation of mobile broadband, based on LTE technology.

Notes to editors:

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Ericsson is the world’s leading provider of technology and services to telecom operators. Ericsson is the leader in 2G, 3G and 4G mobile technologies, and provides support for networks with over 2 billion subscribers and has the leading position in managed services. The company’s portfolio comprises mobile and fixed network infrastructure, telecom services, software, broadband and multimedia solutions for operators, enterprises and the media industry. The Sony Ericsson and ST-Ericsson joint ventures provide consumers with feature-rich personal mobile devices.

Ericsson is advancing its vision of being the “prime driver in an all-communicating world” through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 80,000 employees generated revenue of SEK 206.5 billion (USD 27.1 billion) in 2009. Founded in 1876 with the headquarters in Stockholm, Sweden, Ericsson is listed on OMX NASDAQ, Stockholm and NASDAQ New York.

About Telkomsel:

Telkomsel is the largest cellular operator in Indonesia with more than 86 million customers and 31 thousands base transmitter towers spread nationwide. Telkomsel is owned by PT Telkom (65{af589cdba9d77786c8c861317dbad60bba1e2ebbf56e2ffab874a1b59fde9ce3}) and SingTel (35{af589cdba9d77786c8c861317dbad60bba1e2ebbf56e2ffab874a1b59fde9ce3}).

In line with its focus to lead the Indonesian cellular telecommunication industry entering the era of mobile broadband, Telkomsel has consistently implementing technology roadmap of 3G, HSDPA, HSPA+, and is currently testing the implementation of Long Term Evolution (LTE). At present, Telkomsel HSDPA has been deployed in 24 cities across Indonesia.

Tags : Business ModelsEricssonLTE TechnologyMobile BroadbandTelkomsel