Ericsson to Supply Mobile Telecom System to KT

Ericsson PrototypeEricsson, Sweden’s world-leading supplier in telecommunications, will make inroads into Korea’s fourth-generation cellular wireless (4G) market based on a deal with KT. This will likely spark competition among telecommunications equipment suppliers to grab a larger share in the country’s 4G market, and prompt service providers to introduce a 4G system.

KT especially is reportedly considering replacing outmoded W-CDMA equipment with the 4G system. According to industry sources on Sept. 28, KT will install Ericsson equipment at its Cloud Communications Center in Ilsan, Gyeonggi Province, on a trial basis until January next year.

This will be the first time for the Swedish telecommunications giant to supply a mobile telecommunications system to Korea. The latest deal was based on a memorandum of understanding KT exchanged with Ericsson in July when President Lee Myung-bak visited Sweden.

If its trial system in Ilsan turns out to be a success, KT plans to install it at its facilities in the Seoul metropolitan area, while also considering replacing all W-CDMA equipment there with the 4G system.