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Ericsson Predicts Over 2B Mobile Users Soon

Tuesday May 10, 6:17 am ET

Ericsson CEO Predicts More Than 2 Billion Mobile Users Worldwide 'Very Soon'

STOCKHOLM, Sweden (AP) -- The chief executive of wireless equipment maker LM Ericsson said Tuesday the world will "very soon" see 2 billion mobile phone users.

Ericsson CEO Carl-Henric Svanberg said the mobile market continues to grow, and the rollout of third-generation networks are entering the second phase, with Wideband Code Division Multiple Access being the "global choice."

WCDMA is a high-speed wireless technology capable of offering higher data speeds than current mobile standards.

Speaking to investors in Stockholm, Svanberg predicted Ericsson would maintain its position as the world's largest supplier of equipment for mobile networks.

He said telecom operators are expanding and upgrading their networks, as mobile phone usage grows.

"Our industry now serves a true mass market -- and this market continues to grow," Svanberg said. "Very soon we will have more than 2 billion mobile users in the world."

Rival Nokia Corp. gave a similar forecast in February, saying global mobile subscribers will surpass the 2 billion mark by the end of this year.

Ericsson saw a 73 percent growth in profits in the first quarter, with help from strong sales in Latin America and western Europe.

Ericsson also announced deals Tuesday to provide 3G platforms for handsets developed by French electronic equipment maker Sagem SA, and Bellwave Co. of South Korea. The value of the deals was not released.