Wed, 03 Mar 2004

Ericsson Enterprise sales to up 40%

Abdul Khalik, The Jakarta Post, Jakarta

Ericsson Enterprise, a unit of Sweden telecommunications giant Ericsson, expects its sales of office equipment in the Indonesian market to grow by 40 percent this year to over US$3 million from over $2 million last year.

"Currently, we are the number five company specializing in selling office communication products in terms of sales volume, which is equivalent to 18 percent of the entire Indonesian market. We are optimistic that we can achieve a 40 percent growth of sales this year," said vice president of Ericsson Enterprise for Asia Pacific region, Lars Norman.

This growth is possible because most companies realize that enhancing their intra-communication efficiency and capability can upgrade their position compared to competitors.

"It is becoming a trend among companies to utilize advanced intra-telecommunication devices such as the ones we sell because of a much cheaper installation cost compared to the value it generates," said Wiwibowo Mangkuliyono from PT Suria Solusi Indonesia, the sole authorized distributor of all products of Ericsson Enterprise.

He added that the company could raise its sales value to $10 million for several years to come because of the under-utilized Indonesian market for these kinds of products.

Different from Sony Ericsson which produces and sells cellular phones to individual users, the Ericsson Enterprise division specializes in producing and selling office communication devices that enable a company to link fixed telephone lines with GSM, an advanced technology that is only three months old in Indonesia. Both are the subsidiary companies of Ericsson, which is based in Stockholm, Sweden.

"We sell the products to corporations only. The technology enables an employee to use office facilities from outside, in the car or at home. It can also reduce the communications expenses by cutting out unnecessary terminals," said Wiwibowo.

Right now, the products are used by more than 400 hundred companies, including government agencies, universities, utility companies, and several multi-national companies in Indonesia.