Ericsson announces acquisition of corporate communications software developer Telcordia

Ericsson (Nasdaq:eric) announced today that it had reached an agreement with Providence equity partner companies (Providence Equity Partners, LLC) and the US Warburg Pincus Investment Group (Warburg Pincus) Will buy all of Telcordia's stake in 1.15 billion dollars. Telcordia is the world's leading developer of mobile, broadband and corporate communications software and services.　　The acquisition is expected to be completed in the fourth quarter of 2011 and officially in force in the first quarter of 2012. Hans Vestberg, President and CEO of Ericsson, said: "As more and more devices are interconnected, more and more businesses are moving, and new mobile broadband business models are Vestberg, and the importance of operational and business support systems is emerging." In this context, Telcordia will bring highly skilled talent and expertise to Ericsson, a large number of businesses in the North American market and other markets, and a good multi-vendor product portfolio. He added: "We have a global network, global service capabilities, excellent knowledge of network and network performance, and an important place in the BSS field – a perfect fit."　　"One of the major challenges facing operators today is how to handle the growth of mobile and fixed-bandwidth traffic and new connectivity devices, services, applications, and the high expectations of users, while increasing the efficiency of operations and operations." OSS and BSS systems are key areas for addressing such challenges and simplifying the support business processes. These systems help to improve the user experience and drive operators to monetization their traffic and the services and products they sell.　　In short, these systems play a crucial role in creating the experience that users expect in a low-cost way. Mark Greenquist, president and chief executive of Telcordia, said: "Ericsson and Telcordia are a perfect combination of global leadership and long-term expertise in solving extremely complex communications problems, and users will benefit from new services and expansion capabilities." He concludes: "We will expand our business to manage the world's most dynamic network, leading to a new era of integrated communications." Ericsson's acquisition of Telcordia marks the future strategy of Ericsson's commitment to explore the growing business opportunities in the BSS communications industry. We appreciate the tremendous contribution that Providence and Warburg Pincus have made to the company over the past six years. "We firmly believe that the company will benefit from joining Ericsson, the global leader in providing technology and services for telecoms operators," said Providence and Warburg Pincus investment Group. "The growth of BSS market is mainly driven by the demand for business efficiency, innovation and quality user experience." 2010, software and systems integration marketValue of 35 billion U.S. dollars, is expected in 2010-2013 years, its annual composite growth rate will reach 6%-8%.　　In addition, the market for outsourcing and hosting services is also very attractive and will maintain the same growth rate. Establish complementary advantages Ericsson has excellent performance in network deployment, integration and management, while Telcordia's reliable, scalable software portfolio enhances the efficiency of these networks, further enhancing Ericsson's leadership in mobile OSS systems and expanding Ericsson's business in this area,　　Enable Ericsson to become a leading provider of operational knowledge, including networking, software, services, processes, and efficiency knowledge in the evolving BSS marketplace.　　In addition, Ericsson's ability and leadership in global services and systems integration will enable the BSS portfolio to expand and provide support to more carriers worldwide. The deal has made Ericsson a leader in service fulfillment, service security and network optimization, as well as Ericsson's leadership in real-time billing and enhanced ability to provide end-to-end support services to operators.　　The merger will meet the demand for mobile broadband and operational change from the Communications service provider to its users.　　Telcordia is headquartered in Piscataway, New Jersey, United States, as of January 31, 2011, the total revenue for the previous fiscal year was 739 million U.S. dollars, the total number of employees more than 2600 people. The deal is routinely accepted by regulatory authorities and is expected to increase the earnings per share of Ericsson within 12 months of the completion of the acquisition.