Ericsson and Cisco announced a strategic partnership on Monday, one which should see both companies adding $1 billion (£660m) in revenues by 2018.
It’s not a merger, but the duo will basically collaborate on everything.
“The multi-faceted relationship will offer customers the best of both companies: routing, data centre, networking, cloud, mobility, management and control, and global services capabilities,” Ericsson said in a press release.
Together the companies plan to deliver customer value by:
Offering service provider customers an end-to-end product and services portfolio, and joint innovation that accelerates new business models,
Creating the mobile enterprise experience of the future through a highly secure technology architecture for seamless indoor/outdoor networks, and
Channeling the combined scale and innovation of both companies to accelerate the platforms and services needed to digitize countries and create the Internet of Things.
The release does hint that the two companies will share patents:
“Ericsson and Cisco are strong and complementary partners, with a combined 56,000+ patents, $11 billion of research and development investment, and more than 76,000 services professionals serving customers across more than 180 countries.”
"I am excited to work with Cisco on continuing to shape the Networked Society,” said Ericsson CEO Hans Vestberg. “Foremost, we share the same vision of the network's strategic role at the centre of every company's and every industry's digital transformation. Initially the partnership will focus on service providers, then on opportunities for the enterprise segment and accelerating the scale and adoption of IoT services across industries. For Ericsson, this partnership also fortifies the IP strategy we have developed over the past several years, and it is a key move forward in our own transformation."
2015 seems to be the year of big mergers and acquisitions – Dell has recently acquired EMC and HP sold off some businesses, before splitting into two separate companies.