Vodafone Germany first to launch Ericsson's power-saving feature to reduce energy consumption and cut CO2 emissions

Market Wire, December, 2007

Vodafone Germany is the first operator to put Ericsson's (NASDAQ: ERIC) new Base Transceiver Station (BTS) Power Savings feature in place. The feature, which is commercially available, significantly reduces energy consumption in mobile networks and therefore makes an important contribution to cutting carbon-dioxide emissions.

During periods of low network traffic, the feature effectively puts those parts of the network that are not being used in standby mode - overcoming the traditional practice of having radio equipment continually turned on, which can result in energy being wasted.

Depending on the network traffic pattern, this innovation can save between 10 and 20 percent of the energy per BTS when a base station is in use, while still providing the same services and quality to end users.

The feature is compatible with all Ericsson GSM radio base stations introduced since 1995.

Vodafone Germany will install the energy-saving software upgrade across its base stations by the end of 2007. This initiative is part of the operator's strategy to cut energy consumption in its mobile networks. Installing this software is expected to reduce energy usage and corresponding carbon-dioxide emissions.

Ulf Ewaldsson, Vice President and head of Ericsson's radio network business, says: "Reducing energy consumption is a key area where the telecommunications industry can make a positive contribution to international efforts to respond to climate change. At the same time, reducing power consumption also reduces operational expenditures for operators, so it is a win-win."

Hartmut Kremling, Chief Technology Officer of Vodafone Germany, says: "Our initiative with Ericsson shows that Vodafone takes its responsibility for the environment seriously. We have a leading role in this field in the telecoms sector."

If deployed across the 1 million GSM Ericsson base stations globally, the power-saving feature could mean a collective energy saving of 10-20 percent in the radio access networks, which could result in a reduction in carbon-dioxide emissions of 1 million tons. This highlights that sustainability and cost reductions can go hand in hand.

Ericsson's BTS Power Savings feature is the latest in a series of energy optimization innovations that Ericsson is driving to help reduce total cost of ownership, while at the same time improving the environmental performance of mobile network growth worldwide. In 2006, Ericsson reduced the power consumption of its latest generation of WCDMA base stations by 35 percent and has pioneered the introduction of alternative energies, such as biofuel and solar power, to make mobile telephony economically and environmentally sustainable in emerging markets.

Notes to editors: The Base Transceiver Station (BTS) Power Savings feature was formerly named BTS Standby feature.

Ericsson's White Paper "Sustainable Energy Use in Mobile Communications" is available from: www.ericsson.com/technology/whitepapers/sustainable_energy.pdf

To find out more about Ericsson, energy and the environment, and for the Ericsson Corporate Responsibility Report 2006 visit: www.ericsson.com/ericsson/corporate_responsibility/index.shtml

www.ericsson.com/campaign/sustainable_mobile_communications

Ericsson wins inaugural award for energy-efficiency innovation in China www.ericsson.com/ericsson/press/releases/20071212-1175501.shtml

Vodafone Group CR report: www.vodafone.com/start/responsibility.html

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