Ericsson Telephone Company
(
ERIC
) recently announced its intention of acquiring Canadian software
solutions company, ConceptWave, in an all cash transaction.
Headquartered in Toronto, Canada, the company was incepted in 2000
and primarily develops innovative software solutions for telecom
operators. ConceptWave's primary customers include leading telecom
operators in the U.S., Latin America, Asia and Europe and
Canada.
Earlier, Ericcsson acquired Telchordia and emerged as one of the
most comprehensive providers of (OSS/BSS) solutions, which is a key
element in any operator's network. Now with the acquisition of
ConceptWave, Ericcsson intends to expand its area of operations and
business support systems (OSS/BSS) with the world-leading Order
Management, which enables smooth handling and management of complex
tasks, and Product Catalog solutions, a system that defines the
components of a product.
The company's management stated that nowadays telecom operators
face issues in offering flexible solutions with customized pricing
to their clients. The company also mentioned about the ongoing
shift in the business mix to a more personalization of services
where customers prefer buying communication services that fully
comply with their requirements.
In this regard, the acquisition of ConceptWave is a strategic
move Ericsson's part as its cutting-edge solutions coupled with
more than a decade of expertise adds considerable value to the
existing portfolio of Ericsson.
Ericsson already boasts a leading position in its industry in
the domain of charging and billing, serving about 1.7 billion
customers. The acquisition of ConceptWave further strengthens this
position as its products and solutions benefit telecom operator's
assets through creation, implementation and automation of service
fulfillment processes in order to provide better offerings.
Ericsson provides communications equipment, professional
services and multimedia solutions to mobile and fixed networks
operators worldwide. The company currently has a Zacks #3 Rank,
which implies a short-term Hold rating on the stock.
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