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Ericsson Responds to Rumors of Layoffs: Will Not Withdraw from the Chinese Market

March 12, 2024
in Technology
Ericsson Responds to Rumors of Layoffs: Will Not Withdraw from the Chinese Market
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Previously, there were online rumors that Ericsson would make strategic adjustments to its operations in China and conduct large-scale layoffs in research and development positions. On March 11th, Ericsson responded to these rumors by stating that it is enriching its global R&D team to better serve business and users, while enhancing the flexibility and cost efficiency of software design. Ericsson will continue to uphold its commitment to Chinese users and will not withdraw from the Chinese market.

Earlier, Ericsson’s chief financial officer stated in January that the company may further reduce costs this year, including layoffs. However, Ericsson expects growth in the second half of the year from a $14 billion deal with AT&T, which involves using Open-RAN technology to build telecommunications networks.

Recently, there have been online rumors that Sony’s mobile phone business will withdraw from the Chinese market. In response to this, Sony has denied the rumor, stating that China is one of its most important overseas markets and they are full of expectations for future development.

SEE ALSO: Sony Responds to Rumors of Exit from China: Operations Are Steady

According to reports, Sony and Ericsson established Sony Ericsson to develop the mobile phone business in 2001; after 2011, Sony announced the acquisition of Ericsson’s shares, terminated the joint venture relationship, and renamed it ‘Sony Mobile Communications’, with the brand name changed to Sony.

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