Versatel, an alternative fixed net carrier in Germany, has selected Ericsson to manage the field service for its complete fixed and transmission networks.

The five-year managed services agreement includes: field services, maintenance, provision of customer connections, logistics and repair and systems support nationwide.

Under the agreement, up to 95 Versatel employees will join Ericsson in fourth quarter 2011, when the responsibility for the service operations is transferred.

Versatel chief operating officer Joachim Bellinghoven said the strategic agreement will allow cost-reductions and a demand-driven adaptation of their operating expenses while improving the quality of their service level for their customers.

"We are convinced that Ericsson is a good choice for our colleagues to be transferred. They will be able to demonstrate their abilities and they will find good opportunities for their further career development," Bellinghoven said.

Ericsson services vice-president and head of managed services Valter D’Avino said managed services is a growth area both globally and in Germany. The Versatel employees to be transferred complement their existing services team already serving the largest network operators in Germany.

"This as well as economies of scale from global tools and best practices will bring about the synergies a single operator cannot achieve on its own," D’Avino said.