The Channel logo

News

By | Kelly Fiveash 9th November 2015 12:14

Ericsson and Cisco ink deal for networks of the future

Borg and Swedish wireless giant make big IoT and 5G play

Cisco and Ericsson have formalised a decade-long, strategic partnership to allow the two firms to work together on cloud, 5G, IP and the Internet of Things tech.

The outfits claimed today that the courtship could help each firm ring up $1bn in sales by 2018.

Financial terms of the multiple agreements signed by the two parties were not disclosed, but the partnership is a close one. For example, Cisco and Ericsson plan to discuss FRAND policies and enter a licensing pact for their respective patent war chests.

Ericsson said in a canned statement that it will pay licence fees to Cisco.

The Swedish giant added that the deal – which will presumably help the company compete with rivals such as Nokia Oyj's network division – included combining brains with the Borg on routing, data centre services, networking and mobility.

Employees from Cisco and Ericsson will additionally team up on SDN/NFV and network management and control.

"Initially the partnership will focus on service providers, then on opportunities for the enterprise segment and accelerating the scale and adoption of IoT services across industries," said Ericsson boss Hans Vestberg.

"For Ericsson, this partnership also fortifies the IP strategy we have developed over the past several years, and it is a key move forward in our own transformation," he added.

Vodafone chief Vittorio Colao was among the big name customers to be wheeled out to back slap the partnership. He reckoned the deal would "accelerate the pace of innovation across the communications industry". ®

comment icon Read 3 comments on this article or post a comment alert Send corrections

Opinion

Baby looks taken aback/shocked/affronted. Photo by Shutterstock

Kat Hall

Plans for 2 million FTTP connections in next four years 'not enough'
Microsoft CEO Satya Nadella
Stranded_ships

Chris Mellor

Thousands of layoffs announced as spinning rust enters its death spiral

Features

Locker room jocks photo via Shutterstock
Best locker-room strategy: Avoid emulating AWS directly
STRASBOURG, JUNE 29, 2016: The seat of the European Parliament. by Marco Aprile for shutterstock. EDITORIAL USE ONLY
Plan b, image via Shutterstock
EU workers, new markets: post-Brexit pressure on May & Co
Tough question, pic via Shutterstock