The Swedish state-owned phone company Telia AB has cancelled a contract with L M Ericsson Telefon AB for of a high-capacity optical fibre transmission network based on the Synchronous Digital Hierarchy standard: Telia told Reuters that Ericsson could not deliver either the equipment or the control system in a manner that would have made it worth proceeding; the contract with Telia, covering 1993 and 1994, was worth $13m; Ericsson has 16 contracts in 14 countries to supply Synchronous Digital Hierachy kit; It is extremely regrettable that we have not been able to satisfy our customer since this has caused major problems for Telia; we take a very serious view of the situation, since Telia and Ericsson have co-operated, and continue to co-operate, extensively, Ericsson said.
