INSUBCONTINENT EXCLUSIVE:
That demand cushioned a slowdown in revenue from Ericsson's main U.S
market where telecom operators have been lowering spending
(Photo: Shutterstock)2 min read Last Updated : Oct 14 2024 | 3:49 PM IST
Swedish telecom gear maker Ericsson has received a new
multi-billion dollar contract for selling 5G equipment from India's Bharti Airtel, two sources familiar with the matter said.
This comes
after Ericsson got part of a $3.6 billion contract last month for selling 5G equipment to India's Vodafone Idea
It shared the contract with Nokia and Samsung.Click here to connect with us on WhatsApp
The new contracts are expected to boost Ericsson's
revenue next year after seeing a big fall in contracts from India in the first half of the year.
Sales in Southeast Asia, Oceania, and
India had decreased by 44% in the second quarter
source familiar with the matter.
Ericsson declined to comment
Airtel did not immediately respond to a request for comment.
Shares in Ericsson rose as much as 1.8% after the Reuters story.
Demand
from the Indian 5G market started to skyrocket in 2023, when sales from the region grew as much as five times, as Airtel and Jio, the
telecoms unit of Indian conglomerate Reliance Industries, started to scale up 5G services.
That demand cushioned a slowdown in revenue
market where telecom operators have been lowering spending.
Global telecom equipment revenue had dropped 16% year-over-year in the second
quarter, recording a fourth consecutive quarter of double-digit contractions, according to research firm Dell'Oro.(Only the headline and
picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated
feed.)First Published: Oct 14 2024 | 3:48 PMIST
