As Ericsson posted a first quarter gain, telecom equipment maker Ericsson said it had established the first European scale 5G network jointly with operator Swisscom.
The provider of network gear stated after Swisscom procured a permit that the 5G network was changed on after midnight on April 17.
Ericsson made the statement as it reported a first quarter net earnings of SEK 2.4 billion ($260 million, EUR 230 million), compared to a net loss of SEK 725 million in the corresponding quarter one year ago.
Chief executive Borje Ekholm said earnings in North America had mostly driven expansion.
“To date we’ve publicly declared commercial 5G deals with 18 termed operator clients, which, in the present time, is significantly more than another seller,” Ekholm said in a statement.
Ekholm stated they expected deployments of 5G to start at the end of 2019 in parts of Asia and that as 5G technologies has been rolled out, the business would continue to incur costs for field trials.
“Combined, this can slowly affect short-term margins but fortify our position in the very long run,” he explained.
Shares in Ericsson traded more than 3% over the Stockholm stock market after their earnings report’s launch , hitting at a large.
Ericsson, among Chinese telecom giant Huawei’s major competitors in the 5G marketplace, stated earlier this season it had not felt any consequences out of US pressure on nations to ban Huawei’s gear amid fears that it might undermine the security of the cell phone networks.