Challenged by weak demand and market share loss, Ericsson turns inward to search for efficiencies.
We came away from Ericsson’s capital markets day with mixed feelings. The company laid out an ambitious plan to radically improve its gross margin and become a software leader in telecom, which we find a bit outlandish at this point. Positively, management admitted to the shortcomings of its former growth-focused approach based on services business that led to margin deterioration and loss of market share. At the same time, the shortcomings in execution as well as lack of agility due to ineffici...
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