Ericsson ERIC recently announced that the first private 5G network for the logistics sector has significantly increased productivity at CJ Logistics’ Ilri Center in Icheon, South Korea. The successful debut of full-scale commercial private 5G networks is likely to sow the seeds for similar deployments in the logistics sector, whose size is predicted to reach $15,978.2 billion by 2032. I am.
Ericsson’s private 5G network provides secure and reliable 4G and 5G connectivity through a single server dual-mode core. Accelerate time to service, protect sensitive data, and enable advanced, intelligent operations in any environment. Leveraging dedicated industry spectrum, this network facilitates seamless communication, data exchange, and coordination between the various devices, systems, and parties involved in complex operations.
With 400 warehouse facilities in South Korea and an additional 40 centers around the world, CJ Logistics was looking for the ideal network connectivity that would provide scalability and easy deployment capabilities to implement the Logistics 4.0 concept. This includes leveraging AI to efficiently process rapidly growing amounts of data, use predictive analytics, deploy additional IoT devices, automate processes, and further increase productivity in distribution centers. Masu.
Additionally, despite installing 300 Wi-Fi access points throughout its warehouse, CJ Logistics experienced continuous connectivity outages and dead zones, making it imperative to build a private 5G network throughout its facility. It has become. The deployment of Ericsson’s 5G product requires 15% less capital investment (only 22 wireless dots are required for installation) compared to wired systems, resulting in a 20% increase in productivity for CJ Logistics. Improved.
Ericsson’s private 5G network offers high-performance indoor and outdoor 5G cellular coverage with high security and low latency, making it ideal for users such as factories and educational campuses. As a result of private 5G networks, new and innovative applications and IoT can be used to improve productivity and business operations, and increase cost savings through real-time data sharing, automation, and robotics.
The emergence of the smartphone market and subsequent use of mobile broadband has dramatically increased user demands for coverage speed and quality. In addition, network tuning and optimization is required on an ongoing basis to maintain performance as traffic increases. Ericsson is pushing hard among carriers to expand their network coverage and upgrade their networks to faster speeds and higher capacity. The company is reportedly the world’s largest supplier of LTE technology with a significant market share and has established numerous LTE networks around the world.
The company has focused on 5G system development and has undertaken many notable initiatives to establish itself as a market leader. The company believes that 5G standardization will become the basis for the digitalization of industry and broadband. Ericsson expects his mainstream 4G products to be replaced by 5G technology in the future. Currently, there are 157 live 5G networks across 66 countries around the world.
The company’s stock price has declined 12.3% over the past year, compared to the industry’s decline of 0.5%.
Image source: Zacks Investment Research
Ericsson currently carries a Zacks Rank #3 (Hold).You can see See the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
key pick
Comtec Telecom Co., Ltd. CMTL is currently a Zacks Rank #2 (Buy), making it a solid pick. Headquartered in Melville, New York, the company is one of the world’s leading providers of next-generation 911 emergency systems and secure wireless communications technology to commercial and government customers.
Comtech’s leading satellite earth station modems incorporate forward error correction and bandwidth compression technologies, allowing customers to reduce satellite transponder lease costs and increase data capacity for satellite networks. Can be optimized.
Arista Networks Co., Ltd. Currently carrying a Zacks Rank #2, ANET is likely to benefit from strong momentum and diversification across its top industries and product lines. The company takes a software-driven, data-centric approach to help customers build cloud architectures and improve cloud experiences. Arista delivered an average earnings surprise of 12% in his subsequent four quarters, with long-term earnings growth he expected to be 20.4%.
It holds a leading position in 100 Gigabit Ethernet switching share of ports in the high-speed data center segment. Arista has gained market attention with its 200G and 400G high-performance switching products, and its proactive platform and predictive operations position it well-positioned for healthy growth in the data-driven cloud networking business. doing.
Audio Cause Co., Ltd. AUDC currently carries a Zacks Rank #2. The company expected long-term earnings growth of 24.8%, and he has since delivered an average earnings surprise of 14% over the four quarters.
Headquartered in Lod, Israel, AudioCodes provides advanced communications software, products, and productivity solutions for the digital workplace. The company offers a wide range of innovative products, solutions and services used by large multinational corporations and leading Tier 1 carriers around the world.
Want the latest recommendations from Zacks Investment Research? Today you can download 7 Best Stocks for the Next 30 Days.Click to get this free report
Ericsson (ERIC): Free stock analysis report
Comtech Telecommunications Corp. (CMTL): Free Stock Analysis Report
AudioCodes Ltd. (AUDC): Free stock analysis report
Arista Networks, Inc. (ANET): Free Stock Analysis Report
Click here to read this article on Zacks.com.
Zacks Investment Research
