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LG-Ericsson, Accton team up on data, voice solutions

LG-Ericsson USA will deliver IP PBX systems, digital, IP, Wi-Fi, SIP, soft phones and multimedia terminals to North American SMBs and enterprise businesses

Convergence & VoIP Alert By Larry Hettick and Steve Taylor, Network World
August 17, 2010 01:03 PM ET
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VoIP, unified messaging, products and services

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LG-Ericsson USA was launched earlier this week as a joint venture between Korea-based LG-Ericsson and Taiwan-based Accton Technology Corporation. The company will develop and deliver data and voice communications solutions to North American SMBs and enterprise businesses that include IP PBX systems, digital, IP, Wi-Fi, SIP, soft phones, multimedia terminals, and "fully managed and unmanaged switches with a robust network management services and unified device manager platform to provide easy management," according to company statements.

We note that much of the portfolio already exists given the company's heritage. LG-Ericsson owns 60% share in the joint venture while Accton owns 40%. LG-Ericsson was established in June as a joint venture between Ericsson and LG-Electronics following Ericsson's acquisition Nortel's stake in the legacy LG-Nortel venture. Accton brings its expertise in advanced software applications and state-of-the-art ASIC to the table as part of the deal.

The rise and fall of Nortel

Commenting on the launch, S.B. Mun, the CEO of LG-Ericsson USA said, "LG-Ericsson USA will, for the first time, provide SMBs and large enterprises with a portfolio of scalable, performance-oriented, unified end-to-end data and voice network solutions from a single manufacturer. We are confident that by deploying our solutions, our customers will benefit from improved cost effectiveness and operational efficiency, as well as unparalleled interoperability.”

Our observations: No doubt competitors such as Nokia Siemens Networks, Cisco and Avaya may disagree with the LG-Ericsson USA CEO's optimism -- but these companies should take notice of a potentially strong adversary with some pretty impressive technology and financial credentials.

Next time: We'll take a look at recent developments on net neutrality.

Read more about voip & convergence in Network World's VoIP & Convergence section.

Steve Taylor is president of Distributed Networking Associates and publisher/editor-in-chief of Webtorials. Larry Hettick is a principal analyst at Current Analysis.

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