Ericsson Projects Slower Growth for Wireless-Network Market
- Ericsson’s pact with Cisco lets it sell more complete systems
- Ericsson forecasts rising costs for savings plan to 2017
Circuit boards stand during production of 2G, 3G and 4G data networking devices at the company's factory in Tallinn.
Photographer: Peter Kollanyi/BloombergThis article is for subscribers only.
Ericsson AB cut its forecast for growth in the market for wireless-networking equipment as carriers hold back on spending and predicted higher expenses from a restructuring plan, sending its shares down as much as 5.9 percent.
The world’s biggest maker of wireless-network gear predicted that market will grow 1 percent to 3 percent a year on average through 2018, trimming an earlier forecast of growth of 2 percent to 4 percent through 2017. The shares fell 4.4 percent to 83.05 kronor at 12:48 p.m. in Stockholm.