Video over IP through Media Delivery Network

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Media Delivery Network - Ericsson's new solution for delivery of video over IP
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IP video expected to represent 90 percent of all network traffic in the next few years
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Solution meets viewers' demands, minimizes operators' costs for increased traffic, and helps broadcasters and operators drive new revenues

As online video grows rapidly and more consumers embrace on-demand entertainment, IP video is expected to represent more than 90 percent of network traffic in the next few years. Today the figure lies between 35 and 60 percent, depending on the country. To help broadcasters and operators deliver the TV services that viewers demand and maximize the potential of their networks, Ericsson (NASDAQ: ERIC) now offers the Media Delivery Network (MDN) - a complete solution for the delivery of video over IP. By combining a content distribution network with Ericsson's broader TV portfolio, this media-centric solution will also enable operators and broadcasters to drive new revenues from the growth in video traffic - without increasing network costs.

The amount of over-the-top video traffic carried in operator networks will grow significantly as consumers desire a higher-quality and on-demand TV experience - as well as endless content choices within an unbound connected world.

Giles Wilson, Head of Technology, Solution Area TV, Ericsson, says: "On-line has become an established method for video watching because it allows you to share your favorite programs and clips with others. Enjoying video no longer ties you to your home but it brings challenges to the operators who have to carry the traffic on their networks. Through our MDN solution we created a platform for the 'all video' future in which anytime, anywhere, high-quality, personalized watching on any device is key, whilst helping operators to efficiently carry the increased traffic in their networks."

The Ericsson MDN enables operators to deploy solutions that overcome issues caused by increasing video traffic in their networks. The MDN is a media-centric network that supports multi-channel TV, video on demand, and over-the-top video content from the same core infrastructure. It includes solutions for distribution and delivery, caching, storing, streaming, transcoding and the content management system (CMS). It also enables targeted advertising and fast channel changing across any platform to any screen.

Wilson explains that Ericsson intends to become the change agent for the television industry by helping broadcasters, programmers and operators forward the development of TV. Ericsson's vision of the future of TV is a mass market where communications and entertainment converge and become a very individual experience.

Notes to editors:

Multimedia content is available at the broadcast room

Visit us at The International Broadcasting Convention (IBC) in Amsterdam , September 10-14 2010. RAI Congress Center, hall 1:D61

Ericsson is the world's leading provider of technology and services to telecom operators. Ericsson is the leader in 2G, 3G and 4G mobile technologies, and provides support for networks with over 2 billion subscribers and has the leading position in managed services. The company's portfolio comprises mobile and fixed network infrastructure, telecom services, software, broadband and multimedia solutions for operators, enterprises and the media industry. The Sony Ericsson and ST-Ericsson joint ventures provide consumers with feature-rich personal mobile devices.

Ericsson is advancing its vision of being the "prime driver in an all-communicating world" through innovation, technology, and sustainable business solutions. Working in 175 countries, more than 80,000 employees generated revenue of SEK 206.5 billion (USD 27.1 billion) in 2009. Founded in 1876 with the headquarters in Stockholm, Sweden, Ericsson is listed on OMX NASDAQ, Stockholm and NASDAQ New York.