Most popular Ericsson will suspend chip developmen

2022-08-01
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Ericsson will suspend some investment in chip development in the wireless network field

it was learned from Ericsson that the company announced that it would stop the development of future chips and transfer some resources of the chip business department to wireless research and development in order to better grasp the development opportunities in the wireless field. The strategic adjustment was made after the company completed the future evaluation of the chip business it had previously communicated to the outside world

Ericsson urgently needs to add about 500 R & D personnel in order to grasp the opportunities of wireless, especially small cell, energy efficiency to meet its measurement needs and M2M and other fields. Some resources of the chip business department happen to have relevant R & D capabilities, which can support this growth demand

in August, 2013, after the dissolution of the joint venture between Ericsson and Italy France semiconductor, Ericsson received the LTE ultra-thin chip business. Since then, the chip business department has been committed to putting the first batch of devices integrated with Ericsson chips on the market. In August, 2014, love "This kind of polymer can be dissolved in carbon dioxide and water. The successful commercial use of Ericsson m7450 has achieved the above goals. The company said that Ericsson m7450 commercial chips will still be put on the market as planned.

since the integration, the chip market has developed rapidly, and the expected market for ultra-thin chips is shrinking. At the same time, the chip market is also facing various challenges such as fierce competition, price erosion and accelerating technological innovation. To The success of this rapidly changing market requires a lot of R & D investment. Therefore, Ericsson decided to stop chip development and pay more attention to wireless networking opportunities. Accuracy

Ericsson has previously announced that it will evaluate the success of the chip business within months after integration. After the strategic adjustment, Ericsson will reduce or redeploy its human resources. At present, the company is in the process of internal consultation with local employee representatives on business termination to jointly determine the next step

hansvestberg, President and CEO of Ericsson, said: the successful commercialization of Ericsson m7450 chip has completed the first stage of the company's chip strategy. In view of the latest developments in the chip market and the growth of the small cell and cell coverage market, we believe that the reallocation of resources will bring more benefits to Ericsson group and all Ericsson customers

the strategic adjustment will be implemented in the fourth quarter of 2014. It is estimated that the chip R & D cost in 2014 will still reach about SEK 2.6 billion. The decision is expected to significantly reduce the costs related to the chip business in the first half of 2015; From the second half of 2015, the chip business department will have no impact on the profits and losses of Ericsson group

Ericsson will continue to list its chip business separately in its financial statements until the end of 2014

it is understood that Ericsson's chip business department currently has 1582 employees, mainly distributed in the following places: Sweden (689), India (235), Germany (216), China (206) and Finland (122)

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