Ericsson and Swisscom made good on a deal announced early last year to launch an Ericsson-powered cloud platform for the Switzerland-based telecommunication operator.

The Swisscom cloud-based enterprise service is now running on Ericsson’s Network Functions Virtualization infrastructure (NFVi) platform. Commercial services were initiated last month, and are targeted at the small- and medium-sized enterprise market.

The platform is described as a full-stack cloud deployment that takes advantage of software-defined networking (SDN) and network functions virtualization (NFV). The NFVi platform includes Ericsson’s Cloud Manager, Cloud Execution Environment, Cloud SDN, Hyperscale Datacenter System 8000, and professional services.

The companies initially announced plans for the cloud platform during the 2016 Mobile World Congress.

Daniel Staub, head of Swisscom’s Joint Mobile Group, in a statement said that it will target businesses tied to 5G and the Internet of Things (IoT).

“Our first service is now live, servicing the small and medium enterprise market, and we will continue to work closely with Ericsson to onboard other services in the immediate future,” Staub said in a statement.

The deployment is also part of Swisscom’s 5G for Switzerland program, which itself is a subset of Ericsson’s 5G for Europe program.

Swisscom last month launched an enterprise cloud product with the help of SAP, and said it planned to expand its cloud platform to support Amazon Web Services (AWS) and Microsoft Azure.

Ericsson Challenges

The Swisscom deployment is a bright spot for Ericsson as the company has been going through various operational changes and challenges. The company in July reported worse-than-expected second quarter earnings and said it would accelerate previously announced cost reduction plans.

That news was followed by reports of plans to cut up to 25,000 jobs as part of a $1.2 billion cost savings program. According to its website, Ericsson employs 109,000 people worldwide.

Ericsson is scheduled to report third quarter earnings on Oct. 20.