Ericsson, VimpelCom agree software deal...joins 'Digital Africa' campaign

Wireless telecom-equipment maker Ericsson AB said recently it has signed a software deal with Amsterdam-based VimpelCom Ltd., worth over $1 billion. It said the deal will see Ericsson overhaul VimpelCom's IT infrastructure across 11 countries, using new software and cloud technologies, allowing it to deliver new digital services.

The partnership is the largest and most ambitious in the industry's history. VimpelCom will digitalize and globalize its Business Support Systems (BSS) infrastructure using Ericsson's new software and cloud technologies.

The agreement reflects VimpelCom's commitment to bringing the best services to its customers through innovative solutions and industry collaborations. The Digital Stack will accelerate product and service development, while the delivery and use of near real-time analytics, will allow greater personalization of services for customers. In addition, a simpler user interface will also enhance the customer experience on all levels.

Jean-Yves Charlier, Chief Executive Officer of VimpelCom, said: "This marks a fundamental milestone in our transformation as we move ahead with our strategy to turn VimpelCom into a true digital pioneer. The new Digital Stack will help us better respond to our customers while also centralizing and simplifying our business, creating lean and agile operations that will result in a more efficient cost structure across our global footprint."

As a result of the digital transformation, VimpelCom's IT systems management will become smarter, simpler and more future-ready as the company prepares to unlock new digital services for customers that will be enabled by an advanced network, able to support future-proof features and services. In addition to a significant reduction in operating costs1, the improved technology structure will enable VimpelCom to fast-track its digital innovation strategy, particularly in the areas of mobile entertainment, communication, the Internet of Things (IoT), and mobile financial services (MFS). Along with a wider digital service offering, VimpelCom will have the ability to offer customers customized offers, a frictionless online service experience, and the speed and convenience of simplified and fully digital customer care.

With access to 10 percent of the world's population, VimpelCom plays a unique role in creating digital empowerment for customers, particularly in emerging markets where they are only now beginning to experience the benefits of 3G and 4G LTE technology.

Echoing his VimpelCom counterpart, Hans Vestberg, President and CEO, Ericsson, said: "In a fully connected world, success for operators requires performance, flexibility and efficiency. Ericsson's unique BSS as a service concept, combed with our leading services and technology capabilities, will support VimpelCom in realizing these ambitions while positioning the company for further growth as ICT transforms industries everywhere."

The global strategic partnership between VimpelCom and Ericsson represents both companies' commitment to unlocking new digital services for VimpelCom's customers. As a trusted partner, Ericsson will enable VimpelCom's end-to-end digital transformation, which includes the management and operation of the new Digital BSS environment using a cloud-based digital support system architecture, with Ericsson's Revenue Manager at its core.

In a related development, the SMART Africa Secretariat and Ericsson have entered an information and communications technologies (ICT) partnership to meet the goal of developing a more connected and fully functioning knowledge-based society in Africa.

Ericsson took part in the World Economic Forum Africa in Kigali, Rwanda mid-May, announcing there that it was joining the SMART Africa Alliance as a technical advisor to advance Africa through ICT. This announcement followed the collaboration with the Government of Rwanda on key projects in the financial, transport, utilities and public safety and security sectors, founded on the Smart Rwanda Memorandum of Understanding signed in 2014. The development of a smart city in Kigali, part of the Smart Rwanda initiative, aims to become a world-class reference model project for the Smart Africa Alliance.
On Smart Africa, Ericsson will work closely with member states and private sector agencies to scope the roadmap and implement solutions for a fully knowledge-sharing Africa.
As a result of the partnership, Ericsson joins the Smart Africa Alliance as technical advisor and platinum private sector member collaborating with the alliance to craft blue prints supporting the implementation of the SMART Africa vision and plan.
Established in 2013, SMART Africa is a bold and innovative commitment to accelerate sustainable socioeconomic development on the continent and usher Africa into the knowledge economy through affordable access to broadband and usage of ICT.
Speaking about the partnership, Fredrik Jejdling, head of region, Ericsson sub-Saharan Africa, said: "We are honoured and excited about working with various African countries to enable an information-rich and knowledge-based society. Our experience working on Smart Rwanda has provided an excellent platform to replicate and tailor similar solutions for other Member States and Governments. ICT will change cities, countries and industries and ultimately lead to a truly Networked Society in Africa.”