STOCKHOLM: Telecom equipment manufacturer Ericsson said Wednesday it had launched the first European large scale commercial 5G network together with Swiss operator Swisscom, as Ericsson posted a first quarter profit boosted by sales in North America.
The Swedish supplier of network equipment said in a statement that the 5G network, launched in 54 cities in Switzerland, had been switched on just after midnight on April 17, after Swisscom secured a license to operate a 5G network in the country.
Ericsson made the announcement as it reported a first quarter net profit of 2.4 billion kronor ($260 million, 230 million euros), compared to a net loss of 725 million kronor in the corresponding quarter a year ago.
Net sales grew to 48.9 billion kronor, up from 43.4 billion in Q1 of 2018.
Chief executive Borje Ekholm said growth had primarily been driven by sales in North America.
“To date we have publicly announced commercial 5G deals with 18 named operator customers, which, at the moment, is more than any other vendor,” Ekholm said in a statement.
Ekholm also said that as 5G technology was being rolled out, the company would continue to incur costs for field trials and they were expecting large-scale deployments of 5G to begin in parts of Asia by the end of 2019.
“Combined, this will gradually impact short-term margins but strengthen our position in the long term,” he said.
Shares in Ericsson traded up more than three percent on the Stockholm stock exchange following the release of the earnings report, hitting a four-year high in early trading on Wednesday.
Ericsson, one of Chinese telecom giant Huawei’s main rivals in the 5G market, said earlier this year it hadn’t felt any effects from US pressure on countries to ban Huawei’s equipment amid fears that it could compromise the security of the mobile phone networks.
China slams US ‘lies’ about Huawei-government ties
BEIJING: Beijing on Friday accused the United States of spreading “lies” about Huawei after Secretary of State Mike Pompeo said the telecom giant was not being truthful about its ties to the Chinese government.
Huawei has been thrust at the centre of escalating tensions between the world’s two top economies, with President Donald Trump saying Thursday the fate of the company could be included in any deal to resolve their trade war.
Chinese foreign ministry spokesman Lu Kang said he was not aware of the “specifics” of Trump’s comments and repeated that dialogue must be based on “mutual respect”.
The Trump administration has infuriated Beijing by blacklisting the smartphone and telecommunications company over worries that China uses it as a tool for espionage and allegations of breaking Iran related sanctions.
Huawei has repeatedly denied that it works with the Communist-led government.
“To say that they don’t work with the Chinese government is a false statement,” Pompeo said.
Lu said US politicians have spread rumours about Huawei without providing evidence.
SpaceX launches first satellites of its internet network
WASHINGTON: SpaceX on Thursday launched a rocket containing the first 60 satellites of its “Starlink” constellation, which is intended to provide internet from space and could one day number 12,000 satellites.
One of the company’s Falcon 9 rockets took off without incident from Cape Canaveral in Florida around 10:30 pm (0230 GMT).
The second stage of the rocket will begin to release them one hour after launch, at an altitude of 270 miles (440 kilometers), and then the satellites will use their thrusters to take up their places in a relatively low orbit of 340 miles (550 kilometers).
That’s slightly higher than the International Space Station, but well below the majority of terrestrial satellites, the highest of which sit in a geostationary orbit of 22,400 miles (36,000 kilometers).
The launch was originally scheduled for last week but was postponed, first due to high winds and then due to the need for a software update.
Billionaire Elon Musk’s firm, which is leading the private space race when it comes to rocket launches, is now looking to seize a chunk of the future space internet market.
The launch will make it an early forerunner, along with rival OneWeb, a startup, but well ahead of Amazon’s Project Kuiper, the brainchild of Musk’s space rival Jeff Bezos.
Each of the satellites weighs just 227 kilograms (500 pounds) and was built in-house in Redmond, near Seattle.
Starlink will become operational once 800 satellites have been activated, which will require a dozen more launches.
Boeing 737 MAX: Regulators fail to set return to service date
FORT WORTH (US): Civil aviation regulators from around the world failed to make a determination Thursday on when Boeing’s popular 737 MAX aircraft can return to the skies after being grounded following two deadly crashes.
“The only timetable is to make sure the aircraft is safe to fly,” Daniel Elwell, acting head of the US Federal Aviation Administration, said at the conclusion of the day-long meeting in Texas.
There was “enthusiastic agreement to continue the dialogue,” he said, but acknowledged that “each country has to make its own decision.”
Until the 737 MAX crashes in Ethiopia in March and Indonesia in October which left a combined 346 people dead, the common practice was that air regulators would follow the assessment of the agency overseeing the model, in this case, the FAA.
On Wednesday, Elwell threw cold water on hopes of a speedy resolution, after revealing that Boeing had held off submitting a proposed software fix for review after his agency raised additional questions.
Investigators have focused on the MAX’s anti-stall Maneuvering Characteristics Augmentation System in inquiries into the two deadly crashes.
Boeing last week said the MCAS update was ready for the certification process, and US airlines were hoping the planes could be back in the skies in time for part of the summer travel season.
But Elwell on Thursday said the process could take one month, two months or longer.
“It is all determined by what we find in our analysis of the application,” he told the Media.
Once Boeing has submitted all documentation, the FAA will conduct a test flight and detailed analysis to evaluate the safety of the software.
Richard Aboulafia, an aviation analyst at Teal Group, said Boeing wants to avoid having to repeat the process.
“There’s a lot at stake in terms of the first impression by the world’s regulators,” he told the Media.
US air carriers that operate the 737 MAX, including American Airlines, Southwest and United, have said they hope to have the planes flying again by mid-August at the latest.