Ericsson Appoints New CEO, Hans Vestburg
Posted by: Olga Kharif on June 25, 2009
I just spoke with Hans Vestburg, who will becomeEricsson’s new president and CEO come Jan. 1, 2010. Vestburg, who currently serves as Ericsson’s CFO, replaces Carl-Henric Svanberg, who has accepted the position of chairman of BP, Ericsson announced this morning.
The good news for investors is, Vestburg is unlikely to implement any dramatic changes right the way. “We are very much the same [with Svanberg] in terms of strategy and where we are going,” Vestburg says. He does say the telecom equipment and services supplier will focus more on helping its carriers customers with gear and advice as their fixed and mobile broadband networks converge. Ericsson will also help carriers support new types of devices, such as home appliances, cameras and parking meters, which will connect to the carriers’ wireless networks.
Vestburg emphasized that, as of right now, he is not considering implementing any additional cost cuts at the company. He also reiterated his company’s support for Sony Ericsson, its handset-making joint venture that’s been flailing as of late. “What we are very focused on is that we give them the right support so they can return to profit,” Vestburg says. He wouldn’t comment on whether Ericsson or Sony are considering exiting the joint venture.