Ericsson (NASDAQ: ERIC) is extending its partnership with Equinix, Inc., to offer IT managed services leveraging the Equinix Performance Hub solution that provides an affordable, low-risk approach to significantly improving network and application performance while reducing bandwidth costs by up to 40%. Ericsson will add a full range of managed services to address network transformation and optimization to meet network operators' changing business needs. By leveraging Equinix's global reach into 48 markets and Ericsson's expertise in managed services, operators can work in existing legacy environments while accelerating transformation to modern IT architectures with the hands-on and remote support they require.
With its expertise in network and IT management, Ericsson will be responsible for products and services driven via its Integrated Operations Center including Business Process Operations, Application Development and Management, cloud/hybrid services, managed SDN/NFV operations, data center build and management, IT infrastructure management, managed enterprise Wi-Fi, as well as other hosting-dedicated solutions. Ericsson will also provide additional as-a-Service (aaS) offerings as an extension of its managed services capabilities.
Today's announcement follows the collaboration between the companies to deploy Ericsson's Unified Delivery Network (UDN) solution and Ericsson aaS offerings in Equinix data centers in more than 20 markets, which provides access to a mature business ecosystem of 9,800 businesses. Ericsson has also joined the Equinix Channel Partner Program as a reseller to fully leverage this growing business ecosystem.
According to the latest Ericsson Mobility Report, in 2023, the number of 5G subscriptions for enhanced mobile broadband is forecast to reach 1 billion and mobile data traffic will increase by a factor of eight. As a result, network operators are struggling to keep up with demands to support this massive increase in data and are looking to improve network and application performance, often as an extension of their overall IT transformation strategy.
Equinix Performance Hub is based on a core set of vendor-agnostic components a router, firewall, VPN terminator and load balancer and provides access to major network and cloud service providers to deliver a globally consistent quality of experience. Equinix Performance Hub connectivity solutions include:
WANs connecting Performance Hub solutions to corporate data centers and branch offices
Mobile networks and ISPs for delivering applications and web services to end users
Direct connections to cloud services, including AWS, Oracle Cloud or Microsoft Azure
Average gains for Performance Hub deployments result in 65% faster web server response times, SharePoint speeds up to 39% faster, improved VDI launch times by 40%, and lower network latency for video streaming by 47% to maximize end-user experience. Ericsson will add best-in-class service-level agreements via its automated Integrated Operations Center.
Courtney Munroe, Group Vice President, Worldwide Telecommunications at IDC, says: As global businesses undergo digital transformation, they are increasingly turning to data center colocation environments to deploy IT infrastructure and connect to the cloud. For operators, network performance remains a top priority as more and more devices come online and more data hits the network. WAN optimization solutions strategically deployed near end users can dramatically increase network performance and provide a better user experience.
Peter Laurin, Head of Business Area Managed Services, Ericsson, says: Ericsson will increase its ecosystem and complement its managed services offering by partnering with Equinix to modernize, automate and consolidate data centers, infrastructure and operations at sustainable cost and with faster time to market. This will provide our customers with the best speed, latency, security and reliability. This is another significant milestone in our relationship with Equinix and an important collaboration in the IT domain. This solution will help customers achieve global reach and scale to meet changing business needs.
Greg Adgate, Vice President of Global Alliances, Equinix, says: Digitization will create an estimated $2T in value over the next decade, but to successfully capture this opportunity, remain competitive, create unique experiences and manage costs, operators need to reinvent themselves, their processes, infrastructures and business models. This partnership allows Ericsson to deliver an end-to-end offer to support customers' digital transformation initiatives, delivered with Ericsson's technology platforms and managed services.
Leveraging Performance Hub, Ericsson will provide this innovative offering to enable operators to:
Smoothly move to the cloud, accelerating global expansion and reach anywhere in the world
Boost network/application quality of experience with higher throughput, low latency and seamless deployment
Increase control with the superior agility, security and visibility needed with best-in class service levels
Accelerate revenue through faster deployments, quicker time to market and Ericsson aaS offerings
Test and measure the impact of Performance Hub designs on applications and workloads in an Equinix Solution Validation Center
NOTES TO EDITORS
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Ericsson (NASDAQ: ERIC) is extending its partnership with Equinix, Inc., to offer IT managed services leveraging the Equinix Performance Hub solution that provides an affordable, low-risk approach to significantly improving network and application performance while reducing bandwidth costs by up to 40%. Ericsson will add a full range of managed services to address network transformation and optimization to meet network operators' changing business needs. By leveraging Equinix's global reach into 48 markets and Ericsson's expertise in managed services, operators can work in existing legacy environments while accelerating transformation to modern IT architectures with the hands-on and remote support they require.
