Hans Vestberg today stepped down as the CEO of telecommunications equipment manufacturing company Ericsson. The decision for him to step down as head of the Swedish firm was made by the company’s board as the company strives to forge ahead in a stagnant market.
“Hans has been instrumental in building strong relationships with key customers around the world and his leadership and energy have been an inspiration to employees and leaders across Ericsson,” board chairman Leif Johansson said in a statement.
“However, in the current environment and as the company accelerates its strategy execution, the board of directors has decided that the time is right for a new leader to drive the next phase in Ericsson’s development.”
The board also announced a short term replacement for Vestberg, he is the company’s chief financial officer Jan Frykhammar.
Ericsson entered trouble waters when it appeared that most operators had already rolled out 4G or LTE and 5G doesn’t exist yet—earliest hope for roll out being 2020.
This development had compelled the company to seek new ways to be profitable. Just this year, it laid off thousands of workers – yet the company said it is still seeking ways to cut costs.
