Ericsson (ERIC) Deploys 5G SA in Ireland to Accelerate Innovation
Ericsson ERIC announced that Three Ireland, a prominent telecommunication and Internet service provider in Ireland, has opted to deploy Ericsson’s 5G standalone (SA) on its public network. Three Ireland is also working with the Technological University of Shannon to advance research initiatives and demonstrate real-world applications of the technology.
5G SA implies a scenario where a network only utilizes a 5G core architecture for Internet connectivity. Currently, 5G services still depend on the 4G core network infrastructure and 4G radio coverage footprint. 5G SA will be a significant step forward in network capabilities, offering a multitude of benefits compared to 4G LTE technology.
It is engineered to support a larger density of devices within a specific area compared to previous generations, making it suitable for crowded urban areas or environments with a high concentration of connected devices. Its coverage area is significantly higher than WIFI access points, reducing the need for numerous base stations and thereby improving network affordability.
5G SA encompasses reliable low-latency communication and facilitates high-speed data transfer. This can play a pivotal role in various industry use cases where real-time data transmission is crucial, like safety systems, autonomous vehicles, healthcare and the manufacturing sector.
Ericsson’s 5G portfolio also brings the end-to-end network slicing feature, allowing for greater scalability and improved quality of service management. Different use cases, such as multiplayer games, video streaming and financial transactions, come with varied bandwidth and latency requirements. Network slicing empowers operators to configure the connectivity per specific user requirements. This immensely optimizes network resource utilization, unlocking new monetization opportunities for communication service providers.
The introduction of advanced features can empower industries to drive innovation and foster the development of the next generation of applications like logistics inventory robots, remote operation of unmanned vehicles, and Virtual and Augmented reality applications. Initially, the deployment will be done on a trial basis, spanning one year for a selected set of enterprise customers.
With the emergence of the smartphone market and the subsequent usage of mobile broadband, user demand for coverage speed and quality has increased exponentially. To maintain performance with increased traffic, there is a consistent need for network tuning and optimization. Ericsson is much in demand among operators to expand network coverage and upgrade networks for higher speed and capacity. The company is reportedly the world’s largest supplier of LTE technology with a significant market share and has established a large number of LTE networks worldwide.
ERIC focuses on 5G system development and has undertaken many notable endeavors to position itself as a market leader. It believes that the standardization of 5G is the cornerstone for digitizing industries and broadband. Ericsson expects mainstream 4G offerings to give way to 5G technology in the future.
The stock has gained 5.4% in the past year compared with the industry’s rise of 12.1%.
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Ericsson currently carries a Zacks Rank #3 (Hold).
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