Ericsson Boosts New Zealand’s Network With Advanced IMS

Ericsson ERIC has announced that it had successfully deployed its state-of-the-art IP Multimedia Subsystem (“IMS”) on the Red Hat OpenStack Platform for Spark New Zealand Limited SPKKY. This significant upgrade aims to enhance the IMS infrastructure, thereby enhancing network resiliency and improving mobile voice and video calling services for Spark New Zealand’s customers nationwide.

The IMS integration, which went live at Spark New Zealand’s Network Data Centre in South Island, marks the first fully operational deployment of this kind in the country using the Red Hat OpenStack Platform. This transition from multiple custom solutions to a unified, cost-effective system is expected to reduce operational costs while offering a robust and scalable solution. It is likely to improve efficiency by reducing latency, ensuring a better user experience with minimal connectivity delays and delivering a seamless and efficient network experience.

This deployment in the South Island is a testament to Ericsson’s long-standing partnership with Spark New Zealand and the former’s shared commitment to innovation and excellence. Since 2015, Spark New Zealand has utilized Ericsson’s IMS solutions to support its communication services. The introduction of this new IMS node in the South Island represents a key expansion of this infrastructure, complementing existing nodes in Spark New Zealand’s two North Island Network Data Centres.

Furthermore, by the year-end, Spark New Zealand plans to migrate its current IMS nodes to the new Red Hat OpenStack Platform. This move is expected to unify the network, ensuring a single node manages the full traffic load for the entire country, thereby providing uninterrupted service even in the event of node failures.

The successful integration of Ericsson’s IMS with Red Hat’s open-source platform marks a significant milestone in improving network resiliency and service quality. This strategic enhancement not only optimizes performance but also fortifies the network against potential disruptions, paving the way for more reliable and efficient services for Spark New Zealand’s customers across New Zealand. These advancements are set to play a crucial role in shaping the future of mobile connectivity and network infrastructure significantly.

Price Performance

Shares of Ericsson have gained 46% over the past year against the industry’s decline of 50.5%.

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Zacks Rank and Key Picks

Ericsson currently carries a Zacks Rank #3 (Hold).

A couple of better-ranked stocks in the broader industry have been discussed below.

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