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Electronics Production | August 02, 2011

Samsung and Apple behind Ericsson's growth

The the business segment <em>Telecom Infrastructure</em>, Ericsson reports good results. Why? Samsung and Apple, among other things.
It might seem a bit ironic at first glance. Sony Ericsson, the joint venture handset company of Ericsson and Sony, is marching down a steep slope at the moment. However, the most severe competitors of that JV also provide the reason why Ericsson is doing so well. Why?

It all has to do with data traffic. The Swedish newspaper Dagens Nyheter writes that on average, users of a smartphone use ten times the data amount that a user of conventional phones does. Ericsson, being a provider of wireless internet infrastructure, of course greatly benefits from the success of Apple, Samsung and other handset vendors.

This is especially visible in countries where the smartphones have had huge success, namely markets like the U.S, South Korea and China.

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