Yesterday, 11:53 AM
- Ericsson (ERIC +1.8%) is making a change at chief HR officer, as Bina Chaurasia resigns the position.
- The California-based Chaurasia will exit effective Nov. 15, and the company will move the position to group headquarters in Sweden, closer to the CEO and the rest of the executives ahead of "heavy transformation work needed."
- Chaurasia has been "instrumental in reshaping Ericsson’s Human Resource function and developing Ericsson’s People Strategy during a period of massive business transformation," says CEO Jan Frykhammar.
- Maj-Britt Arfert has been named acting chief HR officer as the company searches for a successor.
Mon, Sep. 26, 12:53 PM
- Liberty Global (LBTYA -3%) is partnering with Ericsson (ERIC -0.3%) to push DVR services in Latin America.
- The expansion comes via Liberty's VTR (in Chile) and Liberty Cablevision of Puerto Rico, part of the company's LiLAC Group (LILAK -0.8%, OTCPK:LILAB). The two hope to capitalize on shifting tastes in the region for time-shifting television watching and for consumer mixing and matching services.
- The push will utilize Ericsson's Video Storage and Processing Platform, which aims to simplify TV recording capabilities
Wed, Sep. 21, 6:57 PM
- Ericsson (ERIC +1.3%) will shutter the last of its Swedish plants, resulting in 3,000 job cuts, according to daily Svenska Dagbladet.
- That ends 140 years of production in Sweden, dating to telegraph days. The 3,000 employees make up just about 2.5% of the company's workforce.
- The company employs about 17,000 workers in Sweden. Svenska Dagbladet said that manufacturing facilities in Boras and Kumla, which focused on the company's network products division (the company's biggest) will be closed.
Tue, Sep. 20, 1:52 PM
- Ericsson (NASDAQ:ERIC) has combined its strategy and technology functions, naming Ulf Ewaldsson its new chief strategy and technology officer, as well as head of Group Function Strategy and Technology.
- Chief Strategy Officer Rima Qureshi has been holding that role along with an appointment July 1 as head of the North America region. Qureshi will focus on that role in North America, and the company's strategic partnership with Cisco Systems.
- Both will be on the Executive Leadership team and report to CEO Jan Frykhammar.
- Ewaldsson has more than 20 years of experience in product management, industry development and customer relationships.
Thu, Sep. 15, 5:36 PM
Wed, Sep. 14, 10:02 AM
- Key telecom patent holders are joining forces, creating a one-stop shop for companies that need to license technology in building a connected future ranging from the "Internet of Things" to connected cars.
- A newly formed company, Avanci, incorporates patents of partner firms including Qualcomm (NASDAQ:QCOM), Ericsson (NASDAQ:ERIC), ZTE (OTCPK:ZTCOY) and Royal KPN (OTCPK:KKPNY). It will offer flat-rate licenses for patents in 2G, 3G and 4G technology that will vary based on the "value the technology brings to the device."
- Such a setup will let those building connected cars, or smart meters and thermostats, quickly settle licensing around required patents without wading into complicated negotiations with several parties. For the telecoms, it means more and easier licensing opportunities beyond phones and tablets.
- Kasim Alfalahi had left Ericsson to found the new group.
Fri, Aug. 19, 3:43 AM
- Top shareholders are lobbying to replace Ericsson (NASDAQ:ERIC) Chairman Leif Johansson, sources told Svenska Dagbladet, just weeks after CEO Hans Vestberg was ousted.
- Shares in the Swedish telecom firm have been under pressure this year due to increased competition from China, but the stock is trading mildly higher this morning as pressure ramps up in the boardroom.
Fri, Jul. 29, 6:37 PM
- A deal extension with Sprint (S +2.4%) is a "positive" for Ericsson (ERIC +0.4%), says Raymond James, but it's difficult to say just how positive.
- An extension of the companies' 2009 deal means that Sprint will take on some Ericsson employees as Ericsson provides "some multi-vendor services" on Sprint's big network expansion.
- Ericsson lost out on its infrastructure position in the deal, giving way to Samsung and Alcatel-Lucent, but held on to managed services, Raymond James analyst Simon Leopold notes.
- "In 2009, Sprint had fewer subscribers at 48M (Sprint 32M, Nextel 12M, Wholesale 4M), vs. 59M now (Sprint 45M, Wholesale 14M), which makes us hopeful that the value is meaningful, but we suspect the scope has changed, making estimation difficult," he says.
- Managed Service revenue has grown at Ericsson from 24.5B Swedish kronor (about $2.9B) in 2011 to 31.8B kronor in 2015.
- Leopold has an Underperform rating on the shares.
Wed, Jul. 27, 5:56 PM
- Ericsson (ERIC +0.4%) and Sprint (S -7.4%) renewed parts of a managed services deal that will include Sprint taking on some Ericsson employees.
- Terms are undisclosed, but that means Ericsson will provide "some multi-vendor services" as part of work on Sprint's network project.
- The deal is an extension of an original network outsourcing arrangement made in 2009, when 6,000 employees were transferred from Sprint to Ericsson as the latter took over management of the CDMA, iDEN and wireline networks.
- Capex spending and planning has been on the decline at Sprint. In its most recent earnings report, the carrier reduced guidance for spending to about $3B for the full year.
Mon, Jul. 25, 10:33 AM
- Ousted Ericsson (ERIC +1.9%) CEO Hans Vestberg was instrumental in transforming the company to a services footing, but "that strategy seems to have run its course," notes J.P. Morgan.
- Vestberg had lost favor with key shareholders at the company, and stepped down earlier today after a string of disappointments.
- The next CEO has to work on gross profit, says JPM's Sandeep Deshpande: "Most important is improving Ericsson’s gross margin which is well below that of its peers."
- The company doesn't break out its lower-margin services business, Desphande notes, "but the substantially lower overall gross margin of the company (excluding IPR payments) in comparison to the gross margin at peers Nokia and, prior to take out Alcatel-Lucent, is a major concern for investors, given Ericsson’s strong wireless broadband market position."
Mon, Jul. 25, 2:46 AM
- Ericsson's (NASDAQ:ERIC) Board of Directors feels "the time is right for a new leader," announcing the departure of Chief Executive Hans Vestberg amid shareholder pressure to replace him.
- Chief Financial Officer Jan Frykhammar will assume the CEO position until a replacement has been found. As customary, the search process will comprise both internal and external candidates.
- ERIC +4% premarket
- Previously: Report: Ericsson shareholders want new CEO; shares +2.5% (Jul. 20 2016)
Wed, Jul. 20, 10:31 AM
- Ericsson (NASDAQ:ERIC) is up 2.5% in U.S. trading, rebounding from a post-earnings slip of 6.1% yesterday, amid reports that the company's key shareholders want new leadership at the top.
- Investor, the holding company of the Wallenberg dynasty, and Industrivarden -- together the two main shareholders -- agree that CEO Hans Vestberg needs to go, according to Dagens Industri, but the trick is finding someone who's willing and able to step in.
- That means such a change might not happen until the end of the calendar year, when cost-cutting measures have already been launched, DI says.
- Anders Runevad (CEO of Vestas Wind) is a candidate, the daily says, and it has heard from a source that there's no internal candidate for the job.
Tue, Jul. 19, 9:14 AM
Tue, Jul. 19, 5:18 AM
Tue, Jul. 19, 5:04 AM
- Novartis (NYSE:NVS) -1% premarket after lowering its full year earnings guidance on plans to increase spending on its drug Entresto.
- Ericsson (NASDAQ:ERIC) reversed earlier losses as investors digested the firm's plans to cut costs by twice as much as previously thought.
- Rio Tinto (NYSE:RIO) -5% premarket after reporting that Q2 iron-ore production rose a weaker-than-expected 8%.
Mon, Jul. 18, 5:30 PM