Ericsson signs major managed services agreement with Saudi Arabian operator Mobily

Ericsson (NASDAQ:ERIC) is selected as managed services partner by Mobily, a Saudi Arabian mobile operator, a member of the Etisalat Group. The 3-year multivendor agreement is the largest managed services agreement for Ericsson in the Middle East and one of the largest in the industry in the region.

Under the agreement, Ericsson will be responsible for network operations, field operations and optimization as well as the spare parts management. The agreement also makes Ericsson responsible for site maintenance of Mobily’s entire multi-vendor network.

The managed services agreement will enable Mobily to significantly reduce operational expenses, whilst Ericsson ensures high quality and predictable performance of the network. Mobily will retain ownership of the network and responsibility for its strategic direction.

Jan Frykhammar, Senior Vice President and Head of Business Unit Global Services, Ericsson says: “Ericsson has been working with Mobily and the Etisalat Group for several years now and it’s an honor to be chosen as a managed services partner for their network. With Ericsson running the operations of the network, Mobily will be able to allocate even more time and focus on customer-facing activities.”

Ericsson and Mobily partnership dates back to 2005. Since then, Ericsson has been the main supplier of network equipment and related telecom services to the operator.