Eurobites: Ericsson Offloads 2G, 3G R&D Staff

Also in today's EMEA regional round-up: Intel gives up ARM wrestling; Telenor plans AI lab; Nokia lands 100G deal in China; Inmarsat extends Fleet Xpress.

  • Ericsson AB (Nasdaq: ERIC) is offloading its 2G and 3G development activities in Linköping and Gothenburg, Sweden, to technology consultancy Combitech AB. The agreement, which will come into effect in October, will include the transfer of 300 Ericsson staff to Combitech. Ericsson is currently looking to reduce its costs following a downturn in its fortunes -- and share price -- that resulted in the removal last month of Hans Vestberg as its CEO. However, the Swedish giant noted that the "agreement and transfer of employees are not expected to have any significant impact on Ericsson’s financials." For more details, see this Ericsson press release. (See Ericsson 'Doubles' Savings Goal as Sales Slump and Ericsson Ejects CEO Vestberg.)

  • Delivering a boost to the UK's ARM Ltd. , Intel Corp. (Nasdaq: INTC) has given up battling the Cambridge-based chip designer and announced it will start optimizing its 10nm manufacturing process for ARM-based chips. Analysts have described the move as a "smart" one by Intel as the semiconductor giant looks to challenge players including Taiwan Semiconductor Manufacturing Co. (TSMC) (NYSE: TSM) and Samsung Electronics Co. Ltd. (Korea: SEC) in the third-party foundry game. ARM was recently acquired by Japanese's SoftBank Corp. for the huge sum of $32 billion. For a full analysis of Intel's move, read this report at Telecoms.com. (See SoftBank Muscles In on ARM in $32B Deal.)

  • Norway's Telenor Group (Nasdaq: TELN) has unveiled plans to set up an artificial intelligence (AI) and big data research lab in partnership with the Norwegian University of Science and Technology (NTNU). As part of the project, the operator intends to roll out an Internet of Things network in several Norwegian cities. Startups and students will then be given free access to the network to test AI products and services. In a statement, Telenor said the move was prompted partly by concern that US Internet giants were carving out a dominant position in the field of AI. "There is a real risk that the most fundamental technology of the 21st century will be dominated by a few large companies, unless we take the necessary steps," said Bjorn-Taale Sandberg, the head of Telenor Research. "By launching the AI Lab at NTNU and by empowering out startups, we contribute directly to taking those steps."

  • Finnish vendor Nokia Corp. (NYSE: NOK) claims to have secured more than 30% of the work on China Mobile Ltd. (NYSE: CHL)'s latest 100G optical network deployment. The rollout, which is aimed at supporting demand for 4G and cloud services, will see Nokia provide 100G OTN and DWDM systems to the Chinese operator, which maintains the country's biggest mobile network. Nokia, which says the equipment it is supplying is based on its recently-announced 1830 PSS-24X packet-optical transport system, described the deal as a "crucial win with our longstanding partner." For further details, see this Telecoms.com article. (See Nokia Boasts 100G Deal With China Mobile and Nokia Opens Its Optical Box of Tricks.)

  • Satellite operator Inmarsat plc (London: ISAT) is extending its Fleet Xpress maritime connectivity service in Northern Europe. Launched in March, Fleet Xpress provides high-speed connectivity for maritime customers, including commercial fishing companies. The service is to become available across the North Sea, the Norwegian Sea, the Barents Sea and the Baltic Sea thanks to the new rollout. Inmarsat also appears to be adding new features to its offering. "The new plans will enable fishing companies to realize the power of 'big data' and to take advantage of revolutionary new applications that together will maximize vessel performance and help save operational cost," said Ronald Spithout, president of Inmarsat's maritime business, in a statement.

    — Iain Morris, Circle me on Google+ Follow me on TwitterVisit my LinkedIn profile, News Editor, Light Reading

  • Alison_ Diana 8/18/2016 | 10:02:58 AM
    Consultants Interestingly, I spoke to a service provider recently who said his use of consultants was on the rise. I'm following up on that but news about Ericsson demonstrates this trend could well extend beyond CSPs into the realm of developers too.
    Mitch Wagner 8/17/2016 | 3:41:52 PM
    Internet of Herring Norway seems like a good candidate for IoT trials: Small country, very technological. 
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