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An all communicating world. Innovation and Sustainability IN TIMES OF CRISIS. Bengt Wattenstr ö m Director Business Development. Seville, May 2009. Ericsson history - 133 years of leadership. 1876 Ericsson founded by Lars Magnus E. 1892 First sales to China

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slide1

An all communicating world

Innovation and Sustainability

IN TIMES OF CRISIS

Bengt Wattenström

Director Business Development

Seville, May 2009

ericsson history 133 years of leadership
Ericsson history - 133 years of leadership

1876 Ericsson founded by Lars Magnus E.

1892 First sales to China

1900 95% of sales outside Sweden

1905 Operator and manufacturing in Mexico

1923 Manual to automatic

1968 Electro mechanics to computer control

1981 Fixed to mobile

1991 GSM/2G introduced

2001 3G introduced

2005 3G/HSPA, Mobile broadband introduced

2008 First 4G/LTE call demonstrated

the vision
The vision
  • Present in more than 175 countries
  • Global leader in Telecommunications
  • 77,000 employees
  • 19,000 in Research and Development
  • 30,000 in Global Services
  • Sales 27 billion USD

The prime driver in an all communicating world

slide4

Climate, health

& povertyrealities

Global policy

Financial crisis

Public opinion

Sustainability becoming business critical

Business requirements

Our management system and processes work – risks and opportunities are addressed

Sustainability becomes part of core business, not an add on

We can deliver solutions that beat competition, are profitable, and contribute to sustainability

slide5

TelecommunicationsAn engine in development of society

  • CO2 must be cut by at least half by 2050 - while economy triples
  • Change in lifestyle not enough – innovation & technology key

Industry

Society

Consumers

Growth & sustainability can go hand in hand – with smart infrastucture

sustainability defined
Sustainability defined
  • What we mean by Sustainability = the triple bottom line.
    • Economic prosperity. Our direct economic contributions to society, and the indirect contribution that telecommunications makes to social and economic development.
    • Social equity. Communications is a basic human right and should be available to all.
    • Environmental performance. Our own performance, and how it can help our customers to minimize their impact, and how we can help to create a more carbon lean economy.
life cycle approach lca
Life-cycle approach (LCA)

Scope: Our products life cycle

Supply chain

Manufacturing & office sites

Transports

Raw materials & chemicals

Use phase

Products energy consumption

Offices & stores

Vehicle fleet

Ericsson

Transports

Office & manufacturing sites

Business travel

End of life

Recycling of metals

Collection/Treatment

Landfill

Resource depletion

co 2 per subscriber ericsson networks
CO2 per subscriber: Ericsson networks

200

AMPS

150

Annual CO2 /subscriber [kg]

100

GSM

WCDMA

50

25

Year

1985 1990 1995 2000 2005 2010

  • Mobile Subscription now 25 kg CO2 per year – Same as driving car for 1h
understanding ict s carbon footprint
Understanding ICT’s carbon footprint
  • ICT responsible for 2% of global CO2 emissions

ICT’s share of world economy is about 7% (Revenues/GDP)

Mobile telecom is only about 0.2% of CO2 but 1.6% of GDP

How can we reduce our own sector emissions?

  • ICT key to reduce the other 98% of CO2 emissions

The enabling effect

How can we help reduce other sector emissions?

innovation and technological improvements address the 0 2
Innovation and technological improvements address the 0.2%

80% energy efficiency improvement in 3G portfolio 2001-2008

Green Site Solutions

Village Solar Charger

Ericsson Tower Tube

co 2 emissions how ict can help reduce co 2 overall emissions
CO2 emissions:How ICT can help reduce CO2 overall emissions

If we reduce our emissions

ICT can help reduce

emissions 15-35%

Annual

Emissions

Target area 2050

(~50-80% reduction)

sustainability offerings
Sustainability offerings
  • Smart Grid Consulting

Smart Grid Consulting helps utility companies cut through the myriad of AMI & AMM (Smart Metering) solutions available

  • Environment & Sustainability

Strategic advice on impact of environmental & social issues on business development

Energy consumption analysis & prioritisation, benefit analysis and business Casing

  • Product Dematerialisation

Promotion of travel replacement, Dematerialization, Combined measures

  • Transport & Logistics

Supply Chain / Logistics Diagnostic, Evaluation and Strategy

  • Data Centre Efficiency

Evaluate energy of existing facilities, storage environment and utilisation efficiency and thermal conditions

  • Life Cycle management

“Cradle to grave” analysis of network/mobile phone and operator activities

  • Ecology management

Safe handling of infrastructure waste from operators

  • Ericsson Efficient Energy Solution

Complete solution of alternate and renewable power including energy optimizationand power saving features.

ict contribution potential

Smart metering

  • Energy “Internet”
  • Digital society
  • Smart business
  • Facility management
  • Monitor & control

15-35 %

  • Virtual presence
  • Smart transport
ICT contribution potential

Global Carbon Emission 2007

26%

Energy supply

19%

Industry

8%

Buildings

13%

Travel & transport

17%

Forestry

14%

Agriculture

Waste

3%

49 billion ton

Source: IPCC

solutions for the sustainable city
Solutions for the Sustainable City

The City

The Block

Transport SolutionsSolutions For Utilities

Surveillance systems

Health Care systems

Care of the elderlyMeetings with many participants

The House

The House Hold

Video conferenceCallcenters

Hosting of business support systems

E-learning

PC-support

Datastorage & backup

Alert SystemsCar pool system

YOU

Monitoring of:Water & Energy Consumption

Light

Fire Alarm

Intrusion detector

Digital Key system

Remote Control of homeMonitoring of:

Energy Cons.Light

Digital keysVideo on Demand

M-Wallet

Travel Planner

CO2 calculatorEco-life guidence

M-Health

healthcare care of the elderly
Healthcare, Care of the Elderly
  • Analysis Equipment- Glucose
  • Pulse
  • Carbon dioxide
  • Sensors
  • - EKG
  • Temperature
  • Pain

Voice controlled

Remote control

Example of Service:

Alarm watch

Camera

Hospital related

Polyclinics

Specialists

Home Care

Relatives

Movement-

sensors

mobile broadband closes the digital divide
Mobilebroadband closes the digital divide

Over 400,000 people in the Millennium Villages throughout rural Africa

Mobile communication and Internet to 12 village clusters in 10 countries:

Ethiopia, Ghana, Kenya, Malawi, Mali, Nigeria, Rwanda, Senegal, Tanzania, and Uganda.

18 villages and 15 towns provided internet services using HSPA

challenges and conclusions
Challenges and conclusions
  • Challenges
    • Lack of cross-industry collaboration
    • Behavioural changes
    • Translating hype to facts and figures
  • Policy areas, innovation and incentives
    • Intra-sectoral changes will not be enough (i.e., only addresses the 2%)
    • Need incentives for industry to work cross sectorally – research, technical innovation, tangible solutions
    • Governments need to do more to make the ”e’s” and the ”m’s” happen. Examples could include:
      • Structural funds – shift from railways and roads to ICT
      • Harmonize technologies – economies of scale and affordability
      • Encourage standardization - key to volume and keeping prices down