Ericsson American Depositary Shares - ERIC STOCK NEWS

Ericsson has announced the transfer of its IoT Accelerator and Connected Vehicle Cloud businesses to Aeris, which will solidify Aeris' position as a market leader in IoT. This transaction is set to close in Q1 2023 and includes the transfer of assets and employees. While the divestment will incur a one-off negative EBIT impact of SEK 1.1 billion in Q4 2022, it is expected to eliminate ongoing losses of SEK 0.25 billion per quarter. Together, the platforms will connect over 100 million IoT devices across 190 countries.

The November 2022 Ericsson Mobility Report highlights robust growth in global 5G subscriptions, anticipated to reach one billion by year-end 2022 and five billion by the end of 2028. Fixed Wireless Access (FWA) connections are expected to surpass 300 million by 2028, driven largely by demand in emerging markets. The report indicates that 5G is outpacing 4G in adoption rates, with significant deployments in North America and Asia. Furthermore, the telecommunications sector is urged to mitigate environmental impacts through smart network modernization and sustainable practices.

A new study commissioned by Ericsson highlights that 15 emerging markets could see GDP growth of 0.3-0.46% by 2035 from 5G connectivity. The report, conducted by Analysys Mason, indicates that the economic benefits from 5G deployment outweigh costs by three to seven times. It emphasizes that enhanced mid-band 5G coverage could account for 80% of economic gains, particularly in agriculture and smart industry sectors. Governments are encouraged to treat 5G as national infrastructure and implement supportive policies.

Ericsson has achieved a peak data rate of over 1Gbps for a single user device during a 5G Standalone field trial in Plano, Texas, utilizing Citizen's Broadband Radio Service (CBRS) spectrum. This groundbreaking achievement marks the world's first demonstration of such high speeds in an indoor environment. Key results include seamless transitions between indoor and outdoor networks and advanced capabilities of the Ericsson Radio Dot 4459 for CBRS applications. This innovation aims to enhance connectivity for consumers and enterprises, promoting the deployment of Private 5G networks.

Cradlepoint has announced the certification of its W1850 Series 5G Wideband Adapter for the Bell 5G network, marking it as the first enterprise-grade 5G Wireless WAN solution certified by Bell. This adapter will provide business and public sector customers with high-speed connectivity ideal for bandwidth-intensive applications. With the increasing demand for 5G solutions across Canada, this certification is expected to accelerate digital transformation for organizations. The W1850 adapter is managed via NetCloud Manager, ensuring reliability and security.

Evergy has partnered with Ericsson and Burns & McDonnell to implement a private LTE network aimed at modernizing its grid operations. Awarded in March 2022, the project includes 20 PLTE sites with the first site operational by May 2022. This initiative is designed to enhance reliability and safety while reducing latency for critical applications. The collaboration has expedited the deployment, allowing Evergy to leverage both LTE and future 5G technologies, thus enabling smarter utility operations and fulfilling its Sustainability Transformation Plan.

Ericsson (NASDAQ: ERIC) announced its Capital Markets Day scheduled for December 15, 2022, in New York. The event will be attended by top executives, including CEO Börje Ekholm and CFO Carl Mellander, and will feature presentations from 9:00 AM to 3:00 PM EST. Registration begins at 8:00 AM EST, followed by a holiday mingle at 3:00 PM. The event will be available online for those unable to attend in person, with on-demand access post-event. This gathering aims to engage with investors, financial analysts, and media.

Ericsson's Q3 2022 results show 3% organic sales growth to SEK 68.0 billion, aided by the Vonage acquisition. Gross income rose to SEK 28.1 billion, though gross margin decreased to 41.4%. EBITA dropped 18% to SEK 7.6 billion, with a margin of 11.2%, impacted by higher investments and one-off costs. Net income stood at SEK 5.4 billion, down 7%. Free cash flow fell significantly by 80% to SEK 2.5 billion due to working capital buildup. The company emphasizes ongoing contracts expected to enhance sales in Q4 and 2023.

Ericsson's latest report, 5G: The Next Wave, highlights transformative consumer trends as 5G technology rapidly gains traction. The largest global consumer survey of its kind, it reveals that 5G users now spend significantly more time on metaverse-related activities compared to 4G users, with 30% of smartphone users expected to adopt 5G within a year. Key findings include a major shift in user expectations, with over 510 million consumers anticipated to adopt 5G in 2023, and substantial growth in augmented reality usage among 5G subscribers.