Telecom Lead Europe: Swedish wireless network company Ericsson announced that it is downsizing its
operations in Molndal, Sweden. The company plans to reduce its staff at its
Molndal site by 95 people.
The company said that the staff reduction is a result of the
ongoing shift towards software from hardware in the wireless network industry.
Ericsson said that it has already initiated
negotiations with unions. The job cuts are mainly within Ericsson’s R&D
unit. As of March 31, Ericsson had 17,767 employees in Sweden.
Ericsson to cut North American workforce
Earlier, Ericsson announced that is going to eliminate some
positions throughout its North American units as part of a regular process.
The company’s spokeswoman Minako Nakatsuma Olofzon said that
these cuts will be less than 10 percent of its workforce in North America.
The company had about 14,801 employees in North
America at the end of 2011 and added 2,600 with the purchase of
Recently, Ericsson said that it will focus more on research and
development and product strategies to gain market share in managed services,
OSS-BSS and LTE in coming years.
The wireless infrastructure major ended 2011 with $35
billion in revenues. Also, it improved its market share in wireless
infrastructure from 32 percent to 38 percent.
The company signed 70 new managed services deals last year.
Ericsson will be focusing on LTE as a recent survey suggested that 74 percent
of phone time is consumed for non-voice purposes.
A few months back, Alcatel-Lucent, a provider of telephone network equipment
and solutions announced that it will cut 3.4 percent of its workforce in France
by the end of the year as part of a periodic review of its personnel needs.
Ericsson India posts 55 percent decrease in Q1 2012 revenue to
SEK 1.4 billion
Ericsson India posted 55 percent decrease in revenue to SEK
1.4 billion in Q1 2012. Among the regions, India showed the worst performance