Ericsson expects decline in 5G demand from telcos despite Q4 earnings beat

Ericsson said it expects further decline in 5G gear demand from mobile operators this year including in key growth market India, after beating fourth-quarter operating profit expectations on Tuesday helped by software sales.

Telecoms equipment suppliers are expecting a challenging 2024 as 5G equipment sales – a key source of revenue – are slowing in North America, while India, a high growth market, is also set for a slowdown.

“We expect the current market uncertainties to prevail into 2024 with a further decline of the RAN (Radio Access Network) market outside China as our customers remain cautious and the investment pace is normalising in India,” CEO Ekholm said in a statement.