Ericsson Press Releases
MCI taps Ericsson to take convergence networking strategy to the next level
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Date: Wednesday, August 18 2004
Ericsson's Engine platform to accelerate MCI's migration of
international voice traffic to an all IP backbone
Ericsson and MCI Inc. today announced an agreement to deploy
Ericsson's Engine solution to migrate MCI's US-based international
gateway traffic from traditional circuit switching to carrier-class
Voice over IP (VoIP). Launching Ericsson's Engine solution in the
U.S. is a key step in MCI's convergence networking strategy. This
essential carrier-class, standards-based, VoIP infrastructure will
enable the company to transport voice traffic worldwide on its IP
backbone as well as expand its network functionality and offer next
generation services on a global basis.
"MCI has reached another milestone in our global convergence
strategy," said Fred Briggs, President of MCI Operations and
Technology. "Ericsson's Engine platform will enable MCI to flexibly
and cost-effectively converge international voice services onto our
IP backbone to optimize our network, increase efficiency and further
realize operational savings while providing more value to customers."
MCI carrier customers and partners will continue to be able to
receive today's full range of existing telephony services as well as
enable them to migrate to next-generation IP services as their
businesses demand. The deployment will also provide scalable IP
access, for customers and partners, to MCI's large global voice
network and deliver enhanced VoIP features in the future.
"As a long-time vendor to MCI, Ericsson is excited to play a key
role in supporting MCI's continued evolution to an all-IP network,"
said Angel Ruiz, president and chief executive officer of Ericsson
North America. "Our flexible Engine solution is aligned to fit
seamlessly into MCI's network, protecting voice revenues and enabling
new revenue streams while substantially reducing operational costs."
Building on its domestic VoIP migration plans, announced in June
2003, MCI has become one of the first U.S.-based service providers to
provision the transition of its international voice service to its
core IP backbone. Already well into the deployment of Ericsson's
latest generation voice switching platform into the network, MCI
expects to begin transitioning traffic by mid 2005.
MCI's Engine deployment includes the Ericsson Telephony Server (TeS)
which serves as the voice gateway controller and signaling gateway,
and the Ericsson Media Gateway (MGW) as the VoIP media path
converters. Engine will allow MCI to transfer the function of fixed
international switch voice circuits to the dynamic efficiencies of
the MCI IP global network. The Media Gateways (MGW) will packetize
voice streams that come from the legacy TDM network for transport
across the IP backbone. Likewise, MGWs will also convert VoIP packets
back to TDM voice streams for transport across the Public Switched
Telephone Network (PSTN). Also, by providing MCI with the capability
to interconnect existing VoIP networks with SIP and H.323, Engine
will also provide MCI the flexibility to connect with global carriers
to exchange VoIP traffic regardless of protocol preference.
Ericsson is shaping the future of Mobile and Broadband Internet
communications through its continuous technology leadership.
Providing innovative solutions in more than 140 countries, Ericsson
is helping to create the most powerful communication companies in the
world.
FOR FURTHER INFORMATION, PLEASE CONTACT
Ulrika Näsholm, Ericsson Communications
Phone: +46 8 719 4144, +46 8 719 6992
E-mail: press.relations@ericsson.com
Kathy Egan, Ericsson Inc.
Phone: +1 212 685 4030
E-mail: pressrelations@ericsson.com
Lauren Kallens, MCI, Inc.
Phone: + 1800 644 6397
E-mail: news-mci@mci.com
About MCI
MCI, Inc. (NASDAQ: MCIP) is a leading global communications provider,
delivering innovative, cost-effective, advanced communications
connectivity to businesses, governments and consumers. With the
industry's most expansive global IP backbone, based on the number of
company-owned points of presence, and wholly owned data networks, MCI
develops the converged communications products and services that are
the foundation for commerce and communications in today's market. For
more information, go to www.mci.com
About Ericsson Engine
Ericsson Engine Softswitch is a commercially proven system that
protects and extends operator revenues and margins. Engine provides a
low-risk evolution of existing circuit-switched networks to an IP
multi-service platform. It offers operators the opportunity to
utilize network resources for next-generation services in the most
cost efficient way, while continuing to profit from telephony
services. Engine has been selected by more than 33 operators
worldwide and 25 networks are in commercial service.
Date: Wednesday, August 18 2004
Ericsson has repurchased EUR 410 million, face value, of its 6.375%
Euro Medium Term Notes maturing May 31, 2006 (ISIN XS0130182784).
The bonds were repurchased in order to reduce gross debt and annual
interest expense.
"The transaction is further evidence of Ericsson's strategy to manage
its balance sheet prudently when appropriate opportunities arise,"
says Vidar Mohammar, Group Treasurer. "We are very pleased to have
been able to achieve a significant debt reduction in an efficient
manner."
2)
Remaining outstanding bonds due May 2006 amount to EUR 1 156 million
(approximately SEK 10.7 billion).
Ericsson is shaping the future of Mobile and Broadband Internet
communications through its continuous technology leadership.
Providing innovative solutions in more than 140 countries, Ericsson
is helping to create the most powerful communication companies in the
world.
mfg ath
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