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Ericsson to lay off 1,200 people in Sweden amid challenging market

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Sweden's Ericsson on Monday said it would lay off about 1,200 employees in Sweden as a part of costs cuts announced earlier this year.

Sweden's Ericsson on Monday said it would lay off about 1,200 employees in Sweden as a part of costs cuts announced earlier this year.Rafael Henrique | Lightrocket | Getty Images

Sweden's Ericsson on Monday said it would lay off about 1,200 employees in Sweden as a part of costs cuts announced earlier this year, citing a challenging mobile networks market and lower volumes in 2024. After a few years of high demand for 5G equipment, buying by telecom providers has slowed, prompting firms such as Ericsson and Nokia to lay off thousands of employees to save costs.

"As previously stated, Ericsson expects a challenging mobile networks market in 2024, with further volume contraction as customers remain cautious," the company said in a statement. Ericsson will continue its initiatives to increase operational efficiency during 2024, but will not make any separate statements on those, it added.Ericsson had told Reuters in January it could look at further cost cuts this year including layoffs but without giving a specific number.

 

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