Ericsson looks at buying operators' networks as part of managed services play
Ericsson has expressed a desire to take its managed services business even further--into the realm of acquiring networks from operators.
Ericsson, now the largest managed services provider in the telecom industry, could "eventually take over part of the network with a [financial] partner and transform" the Capex and Opex requirements, according to Valter D'Avino, vice president of managed services with Ericsson.
However, D'Avino said Ericsson isn't simply interested in leasing back the networks it acquires on a one-to-one basis. Rather it wants to share networks and use them to serve other customers too. In addition, the vendor, which has more than 300 managed services contracts under its belt, said it would only consider acquiring networks in partnerships with financial investors.
Ericsson announced it had racked up $2.3 billion in sales of managed services in the first nine months of the year, a 28 percent increase from a year earlier. Third-quarter revenue from managed services climbed 46 percent, boosted by the Sprint contract in the US.
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