Huawei's recent reports presented that there are still growing benefits to be made from network accessories, Ericsson was under pressure to deliver strong reports too, but its fourth quarter and full year figures were lackluster, hit by the decline in North American carrier expenditure .
Of course, the Swedish giant has been boosted by the major US LTE outcomes, being a supplier to all four major cellos’, while Huawei has been excluded from the deals. However, as the US players gained their first waves of 4G coverage, and slow down their network capes, the pendulum is swinging back towards the Chinese firm, which is looking to major objectives in Europe and Asia.
ERICSSON VS HUAWEI, 2015 AT THE TOP OF THE WORLD TELECOMS EQUIPMENT INDUSTRY Case Solution
The contrast between a 2% year-on-year decline in full year sales, to SKr228bn (allowing for currency adjustments), with Huawei's expected 20% increase in 2014 revenues, frustrated analysts. "I'm surprised the top line is so weak. We are in a global 4G roll-out and Ericsson has downward sales growth," Inge Heydorn of Sentat Asset Management told Reuters, echoing the sentiments of many investors.
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