Answering the Mobile IT Call

April 12, 2001, 02:01 PM —  CIO — 

SPEAKING ON A CELL PHONE from his Dallas hotel room on a wet Friday morning, Håkan Liedman, global CIO of Swedish telecommunications giant L.M. Ericsson, is still buzzing after one of the most provocative meetings of his 20-month tenure.

"We had a serious discussion here yesterday," he says. "Perhaps we won't need to have any traditional personal computers one and a half years from now. We wouldn't need them if all the information we want is accessible from our WAP [wireless application protocol] phones or PDAs or whatever. Hotel business centers, cybercafes and other public terminals could take care of the rest."

Ericsson may be on the cutting edge of what will undoubtedly be the biggest challenge for IT executives since the birth of the PC more than 20 years ago. Managing worldwide systems these days means providing 24/7 access to more than PCs and laptops. Users want and need access to e-mail and other services from their cell phones or any other communications device that suddenly becomes the rage. The infinitely increasing choice of end user devices and the accompanying demands for instant information are among CIOs' biggest challenges. This new frontier requires rethinking the structure of applications and the network.

Anyway, Anyhow, Anywhere They Choose

The Pioneer: L.M. Ericsson is one of the largest and oldest providers of telecommunications equipment. The Swedish company was founded in 1876 and had 1999 revenue of more than 215 billion Swedish krona (roughly $21 billion at current exchange rates). Ericsson has 104,000 employees in 100 countries, using 75,000 terminals to generate 135,000 e-mails a day. It has more than 12,000 systems.

The Challenge: Prepare Ericsson's IT infrastructure for mobile access to the company's information systems from anywhere, at anytime. Reduce IT costs by 10 percent a year by slashing 6,000 systems over three years.

The Solution: Deployment of WAP cell phones and custom software, and standardization of the company's IT infrastructure.

Just ask Ericsson, which, as a leading handheld manufacturer, is feeling the pressure to provide cell phone access to global systems now. Until recently the company's IT enterprise was a confused collection of disparate systems mostly performing back-office roles. But Liedman is trying to transform that infrastructure into a cohesive network that helps drive business and showcases the company's new mobile Internet technologies.

With Nokia outselling Ericsson in the handset market, investors are beginning to put the heat on Ericsson. The company thus is trying to carve a niche as the pioneer of the next generation of mobile Internet devices, including its recently launched WAP phones and planned full-multimedia terminals. Liedman needs to prove -- inside and outside the company -- that the mobile Internet really can work.

"Most customer-facing people in Ericsson have a combination of mobile phones, WAP devices and PDAs," says Juliette Ward, a senior consultant in the Mobile group at Ovum, a London-based industry analysis

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