Ericsson announces major restructuring, impairments
By Nick Wood, Total Telecom
Tuesday 28 March 17

Swedish kit maker overhauls management; media and IT hardware divisions could be on the chopping block.
Ericsson on Tuesday kicked off a major restructuring that includes overhauling its senior management and a strategic review of its media and IT cloud hardware divisions, as it seeks to revitalise its business.
The shake-up will result in a 3 billion kronor-4 billion kronor (€314.68 million-€419.63 million) hit on operating profit, plus restructuring charges of SEK2 billion, in the first quarter alone.
It is the second restructuring announced by Ericsson in the last 12 months.
"For some time Ericsson has been challenged on both technology and market leadership and the group strategy has not yielded expected returns," said Ericsson CEO Börje Ekholm, in a statement.
Ericsson had a year to forget in 2016, as an aggressive cost-cutting programme coupled with a substantial restructuring were not enough to reverse declines in revenue and profitability…
Ericsson on Tuesday kicked off a major restructuring that includes overhauling its senior management and a strategic review of its media and IT cloud hardware divisions, as it seeks to revitalise its business.
The shake-up will result in a 3 billion kronor-4 billion kronor (€314.68 million-€419.63 million) hit on operating profit, plus restructuring charges of SEK2 billion, in the first quarter alone.
It is the second restructuring announced by Ericsson in the last 12 months.
"For some time Ericsson has been challenged on both technology and market leadership and the group strategy has not yielded expected returns," said Ericsson CEO Börje Ekholm, in a statement.
Ericsson had a year to forget in 2016, as an aggressive cost-cutting programme coupled with a substantial restructuring were not enough to reverse declines in revenue and profitability…
TT PREMIUM CONTENT
If you are a subscriber login here
To access premium content you need to upgrade your account. To find out more click here
We are having trouble showing you adverts on this page, which may be a result of ad blocker software being installed on your device. To view the article please disable any ad blocking software