Ericsson, Sony form jv; to create new handsets brand

STOCKHOLM (AFX) - LM Ericsson AB and Sony Corp announced a 50:50 joint venture under which they will manufacture a new handsets brand as well as other handheld multimedia communication products.	    The joint venture, to be called Sony Ericsson Mobile Communications, becomes operational on Oct 1 and will launch its first joint products in the second quarter of 2002, the companies told a news conference.	    It had combined equivalent annual sales of around 7.2 bln usd in 2000, shipping 50 mln handsets.	    The joint venture will be responsible for product research, design and development, as well as marketing sales, distribution and customer services. 	    Under the terms of the deal, Sony and Ericsson will also retain their existing products.	    Ericsson's Mobile Technology Platform unit will remain as a separate organization and will supply state of the art technology to the new company.	    The venture's president will be Sony Corporate Executive Vice President Katsumi Ihara, while its chairman will be Ericsson's chief executive officer Kurt Hellstrom.	    Ericsson and Sony also said they will foster closer cooperation with each other.	    Executive vice president of the joint venture company will be Jan Wareby, currently head of Ericsson mobile phones. 

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