FierceWirelessFierceWirelessEuropeFierceDeveloperFierceMobileContentFierceBroadbandWirelessFierceVoIPFierceIPTVFierceTelecomFierceOnlineVideo

Free Newsletter

About | View Sample | Privacy

Report: Sprint, Ericsson sign $2B network outsourcing deal

Tools

Sprint Nextel and Ericsson have signed a network outsourcing deal worth $2 billion, according to a report in the Swedish business weekly Affarsvarlden.

The report, which first appeared Friday and cited unnamed sources, said that Ericsson had won a contract to take over management of Sprint's networks. The deal is said to last for several years and is reportedly one of the largest orders Ericsson has ever received.

Sprint declined to comment on the report. Ericsson did not respond to inquiries.

The deal, if confirmed, is significant on a number of fronts. It would be a huge cost-saving measure for Sprint, which would outsource, or "re-badge" thousands of employees over to Ericsson, cutting down on severance costs. It is also a large contract win for Ericsson in the North America market, and comes on the heels of Ericsson winning a contract from Verizon Wireless to supply the infrastructure for significant parts of Verizon's LTE network.

However, the move is a curious one, since Ericsson does not specialize in CDMA technology. Sprint has been rumored to be considering outsourcing its network since last November.

For more:
- see the Affarsvarlden report
- see this SprintConnection article

Related Articles:
Analyst: Sprint network outsourcing deal not 'imminent'
Sprint Nextel
loses 1.3M subs in fourth quarter
Report: Sprint to outsource network management to Ericsson
Sprint Nextel
to cut 8,000 jobs
Sprint
may close call centers to cut costs
Sprint may be considering outsourcing jobs

Bookmark and Share
Get Your FREE FierceWireless Email Newsletter:

Comments (39) | Post a comment
More stories about outsourcing   Network Infrastructure   Ericsson   Sprint  

Comments

Well, they're shutting down their Hispanic website as well.

one step closer to shutting down their operations or selling it all together to at&t or verizon..

This will be the boondogle to end all boondogles at Sprint.

I wonder if Motorola, Nortel, ALU and Sprint's other vendors are OK with Sprint allowing Ericsson access to their confidential and proprietary information? I wonder if Ericsson will be awarded all future network contracts for hardware and software?

Blunder after blunder after blunder from the nimrod management at Sprint.

There is not much talent left at Sprint anymore, just office politicians, imbeciles and dead wood. I give them 6-12 months before they are bought or fold altogether.

From reading the local newspaper in Sprint's headquarters (Kansas City), the locals have had enough of Sprint's anti-American labor practices of outsourcing jobs to India, Poland and Brazil as well as insourcing cheap Indian labor into the local job market.

In fact Ericsson knows more about CDMA than anyone out there as they were the pioneers in 3G (first contract with NTT DoCoMo) and in fact bought the UD CDMA infrastructure business of Qualcomm.

Sprint probably hired Ericsson to rip out that 20 year-old Nextel iDen cabinetry and replace. Hopefully lots of work coming down the pipe!!

"Sprint probably hired Ericsson to rip out that 20 year-old Nextel iDen cabinetry and replace. Hopefully lots of work coming down the pipe!!"

You are a moron that has lost command of basic facts. Go and read some telecom history and you will find that CDMA and MIRS were birthed just about the same time. Also I am working on CDMA sites that are older than the current iDEN sites and the actual service calls to CDMA sites are keeping me employed. I just looked at the alarm log... in a 7 day time frame I had 786 CDMA alarms, in that same time frame I had 17 iDEN alarms! In fact in iDEN there is no hardware made by Motorola that is older than 8 years in the entire system nationally. If you had a clue to motorola's polices you'd know this little fact!

I am Ex-Motorola - (17 years of service) and 8 years here at Sprint Nextel. At Motorola I worked on both CDMA and and MIRS (iDEN products). Unlike you I actually know what I am talking about!

Dear Customer,

I hope this finds you well. We at Sprint are just about done laying off 8000 of our employees, including some of our network operations folks. You know, the people that make sure your phone calls go through when hit that green send button on your phone. This will save us money, at least for now, however please expect longer than normal outages and more service interruptions as each of our technicians will now have 80 cell sites to deal with instead of the 50 or so they use to have. We're sure this will make your experience with Sprint much better, but whatever you do, please don't leave as we've already lost over 6 million of you since we bought and crapped all over... I mean, merged with Nextel. I really must be going, my limo is waiting.

Love,
Dan

P.S. I'm also glad to let you know we just signed a $2 billion outsourcing contract with Ericsson. They will be taking over our network operations personnel. We're sure this will make your experience even better considering the employees will no longer care about the Sprint network, because they will be Ericsson employees.

When are you people going to stop believing all of these stupid rumors. Sprint will not outsource it's network ops. They just went through a reorganization lasting almost 2 months and laid off thousands of workers. Do you really think they would have gone through all the trouble of layoffs and reorganization if the were going to oursource? Come on people use your brains.

"Do you really think they would have gone through all the trouble of layoffs and reorganization if the were going to oursource?"

Yes, absolutely, stop being niave. Outsourcing is coming by the end of July.

Sprint employees are dumb

GET RID OF SPRINT's Corprate EXECS and its Hollywood wanna-be CEO. They are the kind of leaders who are ruining America.

"Do you really think they would have gone through all the trouble of layoffs and reorganization if the were going to outsource?"

Lets look at the facts. Soon after the 8K layoffs were reported, Ericcson laid of 7k ppl. With the recent layoffs coming to an end here in next week there should be roughly 7-8K Net ops employees left. Could it be they are making room? Could it be that Ericcson didn't want 14-16K rebadging? Of course SN would do all of the alignment changes and then outsource. They are aligning to send Director down orgs to Ericcson. Have you drank the kool aide so much you believe this isn't possible? Wake up!

The problem is there are no facts to support this. Notice how all of these stories are coming from rinky dink websites like this one instead of reliable and credited sources. Hell according to this website Verizon is laying off all of its workers at the end of tht year and AT&T is rebadging all of it's employees as well. Keep on believing these stories and feed the drama if you like, but the people who work for Sprint know the truth. Feeble minded people, ha!

Ericsson just signed a 2 BILLION dollar deal with Sprint. That would be for what now?????? We are going to be outsourced to Ericsson period, hopefully the grass will be greener on the other side it defiantly cant get much worse. 90 sites each I remember starting with Partners at less than 20 sites and we just thought we were busy.

You people are all falling for the wizards first rule and don't even know it. Suckers.... Keep believing the rumors.

"People are stupid; given proper motivation, almost anyone will believe almost anything. Because people are stupid, they will believe a lie because they want to believe it?s true, or because they?re afraid it might be true. Peoples? heads are full of knowledge, facts and beliefs, and most of it is false, yet they think it all true. People are stupid; they can only rarely tell the difference between a lie and the truth, and yet they are confident they can, and so are all the easier to fool."

http://www.reuters.com/article/rbssConsumerGoodsAndRetailNews/idUSLD96302420090313

I do not understand what benefit Ericsson gets by rebadging all Sprint Employees. My guess is they will keep everybody fro a year or 2 and then keep only minimal set of SME's and layoff all others

Last July one of the VP's of operations purposly leaked that operations will be outsoursed.

Sprint executives are stupid...

MERGER NEWS - iGATE HAS HIGHEST BID OF 20 CENTS (USD) FOR EACH SHARE OF SATYAM (SAY).

Speaking as one of the 8000 left by the wayside, I'm thinking that I got out just in time. Projected 10% pay cuts when rebadging happens, and no severance for those that Ericcson decides to let go at a later date. I've been a very proud Sprint employee for over ten years, but buying Nextel put the company too deep into a whole they may never get out of. It's a shame, we have the best CDMA 3G network in the country, but trying to keep iDEN on the air sucked the life out of us.

It takes a lot more to keep CDMA on the air than iDEN. For example so far this year I have replaced one part on iDEN and have spent the rest of the time troubleshooting CDMA.

A director let the name Ericsson slip out during a meeting last week. And from the rebadging discussion in the meeting it seemed that it was not just possible, but likely. So I'm just keeping my ear to the ground as I wait for announcements to come out. Sprint would not save any money on severance as they would be responsible for any severance for a period of time after the rebadging. The last thing they would want is a bunch of law suits from angry former employees.

No, the godless liberals who have spent the last 40 years destroying our society are the ones ruining America.

godless liberals ruining our country? wow! read the news latley? No? It's the Mavericks and cowboys that ruined our country genius!

Just wait the next four years will make the Bush years seen like grade school.

Read the news lately. Hmmmm lets see who is in charge now...who controls the senate...hmmm. Wow you blind liberals really are dunberr than I thought. Don't worry though, Obaama will have you in a socialist society very soon so you can be as dumb as you want and then blindly think he will take care of you.

The problem with socialism is that you eventually run out of other peoples' money
- Margaret Thatcher

I thought the civil war in America ended in 1865? Guess not. Blue versus Gray is now Blue versus Red (not commie red) And southern democrats are now southern republicans; and northern republicans are now democrats. And pinkos are purple. And robber barons who worked 12 years 10 hours a day 6 days a week in 1909, now just do it offshore in 2009. Can’t wait to watch the Yankees against the Red Sox this season…it’s the same as 1919 when the Babe left Bean Town. Nothing has changed, even though Bob Dylan sang 'The Times They are a Changin’ 45 years ago. A country divided…woe is me…and woe is us.

Sprint sucks. Just a bunch of idiots.

They all deserve to be unemployed and bankrupt

First of all, Nextel needed to merge or get bought out by somebody. IDEN (as great as it is for push-to-talk) was stretched to the limit with 2G data services. You just can't get 3G data speeds with a 25 KHz channel, and without 3G, Nextel knew it couldn't compete.

As for Sprint, they have an "ivory tower" mentality, in that the NHQ engineers dictate and micromanage azimuths and parameter settings. If they won't be able to do that with this new Ericsson contract, then it might be a GOOD thing for Sprint to outsource RF/NetOps. (Good for Sprint, lousy for the engineers who are being set up to get screwed out of their severance package).

The house down!!!

How about NII? Does somebody know anything?

I would rather my truck say Ericson or better yet Boost than Sprint. Every thing has gone down hill since Sprint bought Nextel. I hope Ericson gives all the techs the $$ they deserve.

With outsourcing with Ericsson what does that mean to all the employees that will now be under them? How does it help the employees?
And remember that before that you Sprint let a lot of poeple becuase they sent the work to India, why, think of the employees....the work sould stay in th USA

That my friend is because Sprint's CDMA network is much larger than the IDEN network I monitor both trust me I know. I'm responsible for dispatching techs and while yes we dispatch many more for CDMA it's only because there are ten times as many CDMA sites.

What rock have you been living under? They've been talking about this since last year.

There's some rumors inside Nextel Mexico. NII is talking with Ericsson to do the same they did with Sprint. Probably for Dec09 or Jan2010 could NII outsource it's network to Ericsson along with the engineers

does this mean we can have a Out of contract free card?
I have had spring for 7 years..I am over it!

Post new comment

The content of this field is kept private and will not be shown publicly.

More information about formatting options

What is 18 + 18?
To combat spam, please solve the math question above.