RIO DE JANEIRO, BRAZIL – The first factory for 5G devices in Latin America is ready. The start of the process was given by Ericsson last week, with the inauguration of the production line at the São José dos Campos plant in São Paulo’s countryside. It is one more step the company has taken to conquer a market disputed by telecom giants.
Ericsson’s investment related to 5G is R$1 billion between 2020 and 2024. According to the company’s president in Brazil, Eduardo Ricotta, planning for the production line took about a year and a half — most of that time in the middle of the Covid-19 pandemic. “From the components to the radios, we will provide for the Brazilian market and Latin America as well.”
Ricotta recalls that the company has 130 contracts signed regarding the technology and 80 networks in operation worldwide. In South America, the company should start to install the first 5G networks in Chile by the middle of this year.
Ericsson, however, does not disclose data about the production capacity at the São José dos Campos plant and does not have an estimate of how many jobs the new line will generate.
In the race for 5G, the multinational sees other technology giants’ appetite, such as Finland’s Nokia and China’s Huawei, as positive for the market. But it wants a bigger share than the competition. “We are super prepared for any competition, and Ericsson will keep fighting,” says Ricotta.
More speed and innovation
The 5G technology promises greater speed to the internet network in the country. The radio frequency auction, by the National Telecommunications Agency (Anatel), had its rules approved earlier this year and should occur in July.
The forecast is that the new internet frequency will be available throughout 2022, putting new equipment on the market, such as cell phones and smartphones compatible with the technology.
“We are going to have a vast innovation ecosystem. 5G impacts the consumer, but the biggest impact will be on efficiency and cost reduction for companies and several sectors of the economy. This is what we have seen around the world, and it will be no different in Brazil,” says the president.
About to leave Ericsson’s command in the country, Ricotta bets that a successful experience now can also prepare the company to be ahead with 6G in the next generation.
“I believe that the best way to prepare for 6G is to have an significant market share in 5G. One thing is always connected to the other,” he evaluates.
Source: CNN Brasil