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Ericsson in SAP link for machine-to-machine
25 February 2013
CEO Hans Vestberg announces Ericsson and SAP will offer M2M enterprise products and services to operators
Ericsson is forming a tie-up with SAP to reach operators with
cloud-based machine-to-machine services targeted to operators.
Hans Vestberg, CEO of Ericsson, announced the partnership at
the company’s opening press conference at Mobile
World Congress in Barcelona.
"SAP will add applications for enterprise verticals. We will go
together with a combined sales force," he told Global Telecoms
Business in an interview after the press conference. "We will
be orchestrating all kinds of devices and services."
He emphasised that the SAP/Ericsson partnership will target
operators and not the enterprises themselves. "Operators have
the end customers. This partnership with SAP and Ericsson will
go to market with the operators, not the enterprises.
It’s including the operators.
Ericsson’s main business is the operators today
and for the foreseeable future."
The machine-to-machine deal with SAP is not exclusive, he
emphasised. "There could be other areas such as health care
[with other partners]," he said.
At the press conference the head of SAP’s mobile
division, Sanjay Poonen, said that "60% of the
world’s GDP runs on SAP systems" and that he hoped
the partnership would lead to new types of services, "like
social media on steroids". Services would be "man talking to
machine, machine to man and machine to machine", said Poonen,
who is SAP’s president and corporate officer for
technology and innovation products. "We are delighted to be
taking this to our joint customers."
Vestberg told Global Telecoms Business that this was the first
time that Ericsson and SAP had worked together on a joint
product range, though "Ericsson is probably one of the largest
SAP customers" for its enterprise software. "We have never gone
to market together," he said. "We’re going to see
collaboration in mobile and broadband and the channels will be
used in new ways. We are number one in footprint and scale."
At the press conference, held as Mobile World Congress opened
for the first time in its new venue, Vestberg said that by the
end of 2012 "all smartphone users will use 20 megabytes a day"
and that 4G will reach more than 100 million users by the end
of the year.
He said that by 2018 there will be 9.3 billion mobile
subscriptions, including 850 million mobile PCs or tablets, 3.3
billion smartphones and 6.5 billion mobile broadband
subscriptions. "In 2018 three times as many people will have
access to the internet as today."
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