Sweden's Ericsson missed earnings estimates for the last quarter after telco customers reined in spending on 5G network expansion amid uncertainty about the future direction of the economy.
For that near-term outlook, Ericsson expects to see network operators"continue to sweat assets" in response to macroeconomic headwinds, and also to adjust inventory levels as the supply situation eases. According to Ericsson, its networks business in India showed growth with significant market share gains, but the gains here could not fully compensate for reduced operator capital expenditure and inventory reductions in other markets such as North America.
Ekholm said that Ericsson's enterprise strategy has two pillars, with the first being the Enterprise Wireless Solutions business, which is focused on what it sees as a multi-billion-dollar market opportunity for 5G optimized networking and security solutions.