3 Jul 2020
EUR 60 million
Financial institutions and SMEs
|Date of agreement:||12 Dec 2017|
|Customer:||Telefonaktiebolaget LM Ericsson (publ)|
|Amount in USD:||USD 220 million|
|Amount in EUR:||EUR 186.88 million|
|NACE sector / loan type:||Research and development|
|Business area:||Infrastructure, transportation and telecom|
The loan has been provided to finance Ericsson’s R&D costs during 2018–2020. The focus of the research programme is on the development of fifth generation (5G) cellular technology for telecom networks.
5G is the next telecommunication standard, which enables device-to-device and massive machine communication through minimum latency and greater reliability.
The research carried out by Ericsson focuses on increasing network capacity, lowering energy consumption, improved coverage and better integration of the “Internet of Things”; the network of devises, vehicles, home appliances and other electronics that allows data to be exchanged between these items.
The main part of the R&D activities will be carried out in Sweden, as well as in Finland, Estonia, Poland, Ireland, Spain and Hungary.
Ericsson is a global leader in communications technology and services with headquarters in Stockholm, Sweden. The company consists of more than 111,000 employees who provide customers in 180 countries with solutions and services. Net sales in 2016 were SEK 222.6 billion (USD 24.5 billion). The Ericsson stock is listed on Nasdaq Stockholm and on NASDAQ in New York.
The programme will contribute to the development and standardisation of 5G technology. Ericsson’s high R&D intensity, innovation track record, and cooperation with academia and the private sector have allowed the company to develop one of the industry’s strongest patent portfolios. The company is also involved in a number of Horizon 2020 and other EU-wide projects.
No significant environmental issues have been identified. Ericsson has a sustainability programme in place to reduce its in-house carbon footprint, as well as the carbon footprint of its products, and to improve supply chain management.