Ericsson CEO Vestberg steps down with immediate effect

Nieuws Mobiel Wereld 25 JUL 2016
Ericsson CEO Vestberg steps down with immediate effect

Hans Vestberg has stepped down as CEO of Ericsson with immediate effect, following reports he was under pressure from shareholders. CFO Jan Frykhammar will take over until a new CEO is found. 

Ericsson chairman Leif Johansson said the board decided that "in the current environment and as the company accelerates its strategy execution", that "the time is right for a new leader to drive the next phase in Ericsson's development". Johanssen said the board fully supports the cost-reduction plans presented by Ericsson last week at its quarterly earnings report. 

Vestberg worked 28 years at Ericsson, including seven as CEO. He will still be available to support the board and management during his six-month period.

Frykhammar, who has served as CFO since 2009, said he will not seek the CEO job on a permanent basis. Carl Mellander, currently VP & Group Treasurer, is appointed acting CFO with immediate effect. 

Categories:

Mobiel

Regions:

Wereld

Tags:

Network equipment

Related Articles

WERELD 18 APR 2023

Ericsson CFO to step down in early 2024

Ericsson announced that CFO Carl Mellander will step down at the end of the first of quarter 2024. Mellander has been with Ericsson for over 25 years and has been a member of its Executive Team since 2016. A recruitment process will be initiated to appoint a successor.

VERENIGDE STATEN 3 APR 2017

Verizon hires ex-Ericsson CEO to head new networks unit

Verizon has announced a new operating structure which will focus on three areas, namely, Media and Telematics, Network and Technology, and Customer and Product Operations. The new structure will go into effect from 3 April. As part of the change, Verizon has appointed Hans Vestberg, the former CEO of Ericsson, as the executive VP for the new Network and Technology team. Marni Walden will become the executive VP for Media and Telematics, reporting also to McAdam, while John Stratton will be the new executive

WERELD 28 MAR 2017

Ericsson starts major new company reorganisation

Ericsson has presented a new, more focused business strategy, saying it wants to simplify the organisation and name a new executive team. CEO Borje Ekholm said the announcement comes after a strategy review, which showed that the group strategy was just not yielding expected returns. The company now wants to move "with speed" it restore profitability as a priority, while revitalizing its technology and market leadership, with the focus going to the development of market-leading systems using 5G, IoT and the

WERELD 16 JAN 2017

Ericsson interim CEO gets deputy role as Ekholm steps in

Ericsson said Jan Frykhammar has been appointed executive vice president and advisor to the CEO, after he stepped aside from his interim role of president and CEO, to make way for Borje Ekholm. Ekholm's appointment had been announced in October. Frykhammar had been acting up since July 2016 when Hans Vestberg abruptly stepped down as CEO and left the company.

WERELD 23 NOV 2016

Ericsson ex-employee reports bribe allegations to US lawyers

A number of former executives from Ericsson have told Swedish radio programme Ekot that the company systematically engaged in bribery in the late 1990s and early 2000s in order to win contracts. An article on the Swedish national radio station's website says they allege that Costa Rica's president at the time, Miguel Angel Rodriguez, was among the recipients. Most people spoke to Ekot on condition of anonymity, but ex-employee Liss Olof Nenzell worked with the confidential payments and said they were made t

WERELD 26 OCT 2016

Ericsson names board member Ekholm as new CEO

Ericsson has named board member Borje Ekholm as its new President and CEO, effective 16 January 2017. Ekholm is currently CEO of Patricia Industries, a unit of the investment group Investor AB, a shareholder in Ericsson. He replaces CFO Jan Frykhammar, who has been serving as interim CEO since july when Hans Vestberg abruptly left the company.

ZWEDEN 4 OCT 2016

Ericsson confirms 3,000 jobs to go in Sweden

Ericsson has confirmed plans to cut around 3,000 jobs in Sweden and end its last production activities in its home country. The company said the changes are part of its wider restructuring programme, which requires lower costs, an increased focus on R&D and a shift from hardware to software products and more flexible production. The workforce reduction will affect 1,000 positions in production, 800 in R&D and 1,200 in other operations in Sweden. Ericsson said it intends to make "significant reductions" at t

WERELD 30 SEP 2016

Ericsson moves HR role back to Sweden

Ericsson announced that it will move the position as chief HR officer to Sweden and that Bina Chaurasia, based in California therefore will resign from her role as SVP and chief HR officer, effective 15 November. Maj-Britt Arfert will temporarily act as chief HR officer while the search for a successor is underway. The role was based in California since 2014. The position will be moved to Stockholm to be close to the CEO and the majority of the executive leadership team due to the heavy transformation work

SPANJE 30 SEP 2016

Ericsson Spain to axe 12% of workforce

Ericsson's Spanish subsidiary has announced plans to cut up to 350 jobs, or 11.86 percent of its workforce, as part of the group's cost-savings programme announced in 2014. In a statement, the company said the "difficult" decision is a "very necessary" step to maintain its leading position and focus on the development of new business areas, profitable growth and long-term success, in line with its global strategy. Ericsson added that it had already informed its employees in Spain of the upcoming collective

ZWEDEN 22 SEP 2016

Ericsson to shut last manufacturing sites in Sweden - report

Ericsson is planning to shut down all its production in Sweden, as part of accelerated restructuring plans aimed at lowering costs. According to internal documents seen by Swedish paper Svenska Dagbladet, the Network Products division will shed almost 3,000 jobs in Sweden this year, after already letting go 1,500 last year. Its remaining production sites in Boras and Kumla will be closed, bringing to an end 140 years of manufacturing in Sweden. Ericsson employs in total around 15,000 people in Sweden, down

WERELD 21 SEP 2016

Ericsson names Ewaldsson as head of strategy, technology

Ericsson named Ulf Ewaldsson as senior vice president, chief strategy and technology officer and head of Group Function Strategy and Technology. Ewaldsson brings to this position more than 20 years of experience in product management, industry development and customer relationships. He replaces Rima Qureshi who was appointed head of Region North America from 1 July and has since held dual roles. In addition to her role as head of Region North America, Qureshi will continue to drive the strategic partnership

WERELD 25 JUL 2016

Ericsson CEO Vestberg legt functie per direct neer

Hans Vestberg is met onmiddellijke ingang teruggetreden als CEO van Ericsson. Dit gebeurt na berichten in de media dat aandeelhouders de druk op Vestberg hadden opgevoerd. CFO Jan Frykhammer neemt de positie waar totdat er een nieuwe CEO is gevonden. Ericsson voorzitter Leif Johansson zei dat de Raad van Commissarissen besloot dat de tijd rijp is voor een nieuwe leider voor de nieuwe fase van de ontwikkelingen binnen Ericsson. Johansson geeft aan dat de raad de kostenreductieplannen die Ericsson vorige week

WERELD 20 JUL 2016

Ericsson's main shareholders want new CEO - report

Ericsson's main owners have agreed that the company should replace CEO Hans Vestberg but there is difficulty in finding a suitable and willing successor, according to business daily Dagens Industri's online edition, citing sources. Di.se said it had reported as long ago as early May that Anders Runevad, CEO of Denmark's Vestas Wind, is a candidate.

WERELD 19 JUL 2016

Ericsson recognises more future income as sales - report

Ericsson has been reporting expected revenue as straightforward sales income, according to the website of Swedish newspaper Svenska Dagbladet's business section. The article cited internal sources, which said it could be a matter of between SEK 100 billion and SEK 150 billion. SvD said Ericsson's press department referred to its annual report, which says revenue is recognised when risks and rewards have been transferred to the customer and amongst other things, when the revenue amount is fixed or determinab

WERELD 19 JUL 2016

Ericsson sales fall 11% in Q2, sees weak H2

Ericsson reported a further slowdown in sales in the second quarter, with revenues falling 11 percent year-on-year to SEK 54.1 billion due to the economic weakness in parts of the world. The company's main growth markets, China and North America, posted flat sales, and sales grew only in southeast Asia and Oceania. Ericsson said it expects the sales trend to continue in the second half of the year. A larger share of mobile broadband coverage contracts and services business led to a fall in the gross margin

Just In

16:42

SLT-Mobitel launches 5G network in Sri Lanka

16:19

Dialog Axiata launches 5G network, connects 1.5 million subscribers

15:56

UK govt to ban AI-enabled nudification apps to protect women, girls

15:42

3 UK launches last-minute Christmas sale

Commentary

13:56

Video market set for slower growth ahead

11:38

Netflix buys Warner Bros to deepen content catalogue

11:11

KPN's mixed performance in Q3 raises questions for strategy day

15:26

Stock markets breaking records but what happened to Odido's IPO plans?

Background

01:04

The week in telecom: Wi-Fi bolt-ons take off to boost broadband growth, video market works on consolidation

01:39

The week in telecom: Netflix wins bidding for Warner Bros, Apple poaches new execs, Samsung debuts trifold

13:51

Proximus vs. Telenet: Proximus performs better in Q3 while Telenet uses up cash

14:16

Proximus Domestic still struggling with low margins

Complete profile

Before downloading the whitepaper, we would like to ask you to complete your profile with company and position. After confirming you will receive the white paper.