Ericsson Execs Don’t Expect Recovery in 2002

Sweden’s Ericsson, the world’s top mobile phone equipment maker, said the hard-hit telecommunications industry is unlikely to recover next year, sending its shares down 19%.

As a global economic slowdown is compounded by over-capacity and telecom companies slash investments and jobs, the market for mobile systems will see only flat to modest growth in 2001 and 2002, Chief Financial Officer Sten Fornell said at a technology summit.

The company’s American depositary receipts fell 97 cents to $4.01 on Nasdaq.