Telefónica Outsources to Ericsson, IndraTelefónica Outsources to Ericsson, Indra

Ericsson and Indra to take over Spanish giant's pre-paid billing solution, related OSS, and about 500 employees from Telefónica I&D

July 21, 2010

1 Min Read

MADRID -- Telefónica, one of the world's largest telecom operators with operations in 25 countries and some 265 million customers, has entered an agreement with Ericsson (NASDAQ:ERIC) and Indra, a leading Spanish IT multinational.

The agreement includes transfer of Telefónica's complete pre-paid billing assets, related operations support systems together with about 500 employees that develop, operate and maintain the solution that today serves about 100 million subscribers in the Telefónica Group. The assets will be transferred to Ericsson and Indra, effective October, 2010.

The agreement will strengthen Ericsson's position within systems integration and within the areas of business support systems (BSS) and operation support systems (OSS). It is an important complement to Ericsson's already strong billing and charging portfolio providing Ericsson with opportunities to further develop and expand capabilities for the BSS solution with possible commercialization to other customers.

Of the about 500 highly skilled employees joining Ericsson and Indra, approximately 400 come from Telefónica I+D in Spain and about 100 come from Telefónica I+D in Brazil.

Telefónica spokesperson said: "Pre-paid is an important component in our group's offering and we are happy to have Ericsson and Indra managing our solution. The agreement offers a unique opportunity for the development and the operational efficiency of the billing solution, together with the Telefónica I+D organizations that the two companies are taking over."

Telefónica SA (NYSE: TEF)

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