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Ericsson: Over 69,000 New Mobile Connections Added Per Day Across Middle East

Middle East records 96 percent mobile subscriptions penetration in first quarter of 2012

Ericsson's second Traffic and Market Report reveals that global Smartphone subscriptions are expected to reach 3 billion in 2017

Global mobile subscriptions reached 6.2 billion in Q1 2012 and 170 million new mobile subscriptions were added during the quarter
Mobile subscriptions in the Middle East grew at a rate of 69,230 new connections per day* in the first quarter of 2012, according to Ericsson's (NASDAQ: ERIC) second Traffic and Market Report - On the Pulse of the Networked Society. The report revealed that a total of 6.3 million new connections were added across the region from January to March 2012, taking the total number of subscriptions up to 266.3 million.

According to the study, mobile subscription penetration in the Middle East stood at 96 percent, compared to 69 percent in China and 97 percent in North America. It was also revealed that total mobile subscriptions around the world are expected to reach nine billion by 2017, compared to six billion at the end of 2011. The report forecasts that 85 percent of the world's population will have internet coverage via 3G by 2017 and that mobile broadband connections will reach the five billion mark that year.

"These numbers are a clear indication of the tremendous potential for growth we're seeing in the Middle East," remarked Anders Lindblad, President and Head of Ericsson in the Middle East Region. "Although the region has matured over the years, as reflected by the penetration we're seeing, the mobile telephony market still continues to grow at a phenomenal rate, outpacing markets such as North America and Western Europe."

In the report, Ericsson also predicts that by 2017 half of the world's population will be covered by LTE/4G networks. Smartphone subscriptions will number around three billion in 2017 - compared to 700 million in 2011. Mobile data traffic (voice and data) is expected to increase by 10-15 times between 2011 and 2017, mainly driven by video. Web traffic by mobile PCs and smartphones is foreseen to be dominant in the period, driven by the attractiveness of mobile broadband. Traffic generated by advanced Smartphones is growing rapidly and is forecasted to approach similar levels as mobile PC based traffic (in total) in 2017.

Lindblad added: "This data points to the Middle East's continuing evolution into, what we at Ericsson call, a Networked Society. We are fast reaching a point where everything that can be connected, will be connected and where mobile access to broadband will eventually become an essential service."

-Ends-

About this report
Ericsson has performed measurements since the early days of mobile broadband from a large base of live networks covering all regions of the world. The aim of this report is to share analysis based on these measurements, internal forecasts and other relevant studies to provide insights into the current traffic and market trends. We will continue to share traffic and market data, along with our analysis, on a regular basis.

For more information and to download the full report please visit: www.ericsson.com/traffic-market-report

The 69,230 daily penetration rate was arrived at by dividing 6.3 million, which was the total growth recorded in Q1 2012, by 91, which was the total number of days in January, February and March 2012

Ericsson is the world's leading provider of communications technology and services. We are enabling the Networked Society with efficient real-time solutions that allow us all to study, work and live our lives more freely, in sustainable societies around the world.

Our offering comprises services, software and infrastructure within Information and Communications Technology for telecom operators and other industries. Today more than 40 percent of the world's mobile traffic goes through Ericsson networks and we support customers' networks servicing more than 2.5 billion subscribers.

We operate in 180 countries and employ more than 100,000 people. Founded in 1876, Ericsson is headquartered in Stockholm, Sweden. In 2011 the company's net sales were SEK 226.9 billion (USD 35.0 billion). Ericsson is listed on NASDAQ OMX, Stockholm and NASDAQ, New York stock exchanges.

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FOR FURTHER INFORMATION, PLEASE CONTACT
Fida Kibbi, Head of Public and Media Relations
Ericsson Middle East Public & Media Relations

Phone: +97155600 1005
E-mail: rmea.media@ericsson.com

© Press Release 2012

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