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Despite the negative response, Ericsson now tries to prove that home networks are profitable. Together with Electrolux, the company has in operation its first commercial home network for apartment buildings. The network offers connected households a wide range of services, like power management and alarms.
Ericsson and Electrolux hopes to sell their new Open Service Gateway (OSG) based network to tens of millions of households. This would mean sales counted in SEKbn or hundreds of millions of dollars.

"No other supplier has a similar network. We have the world's most advanced OSG based system for ordinary households in operation," says Jorma Mobrin, MD for E2, the Ericsson and Electrolux home networks joint venture.

According to Mobrin, the system has fulfilled the expectations so far. The network began to operate in a new apartment building in Stockholm just over a month ago. Every apartment is fitted with an OSG server supporting a Lonworks based control system and a network for Internet communication. This means that the person living in the apartment can communicate and control functions in the apartment via the Internet. The building company JM also confirms to Elektroniktidningen that it has plans to introduce the network technology in future new buildings of this kind.

So far, the system has no name, but E2 intends to launch it internationally. According to Ericsson discussions are already underway with several large telecom operators.


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