Ericsson “supports banned Huawei”? Reaction from the Swedish government

Recently, Ericsson, headquartered in Sweden, has gained recognition for its “solidarity with Huawei”

According to Swedish media outlets, Brje Ekholm, Ericsson’s CEO, sent several text messages to Halberg, the country’s foreign trade minister, asking for the removal of China’s Huawei 5G ban, stating that the ban “threatens Sweden’s relations with other nations.” For Ericsson, Sweden is a very bad country.”Sweden is a very bad country for Ericsson.”

On the 3rd, Sweden’s “Daily News” reported that the decision by Sweden to remove Huawei from the list of 5G providers was influenced by the Sino-US dispute and “had to choose a side station between China and the United States.”

On the 3rd, the “Voice of Deutsche Welle” said that on January 1, the “Daily News” announced that Bao Yikang sent a “pressure” text message to Minister of Foreign Trade Halberg claiming that Bao Yikang was also indirectly threatened with “Ericsson leaving Sweden” The “Daily News” also stated, however, that Bao Yikang denied the paper that he was warning “Ericsson will leave Sweden.” He stressed: “Our soul is in Sweden, this is the base of Ericsson.”

In two pages, the “Daily News” article on the 3rd analyzed the context of the incident. The Huawei 5G ban was declared in October 2020 by the Swedish Telecommunications Regulatory Agency (PTS). The local administrative court granted a provisional injunction against the ban after Huawei appealed the ban. However, on 16 December, the Court of Appeal of Stockholm ruled that the provisional injunction issued by the Administrative Court had been lifted, i.e. the 5G ban against Huawei was re-effective, but Huawei was allowed to appeal against the Swedish PTS.

Some observers claim that several agencies are interested in Sweden’s strategy against Huawei, and PTS is strongly affected by the Ministry of Defense, which has strong long-term ties with the United States.

Ericsson is the largest information and data systems firm in the world, also known as the Swedish industry’s ballast. The business has a worldwide workforce of around 100,000, of which 13,000 are in Sweden. The business has R&D centers in 8 cities in Sweden, according to Ericsson’s official website, and is Sweden’s biggest employer of engineers. In the last two years, it has employed 2,000 new developers.

“Voice of Deutsche Welle” claimed that Ericsson and Nokia from Finland are the major competitors for Huawei in the supply of 5G equipment and networks, however Bao Yikang has also publicly voiced support for Huawei, claiming that “competition is conducive to company development.” However, the support of Bao Yikang for Huawei is not unrelated to the market of Ericsson in China. The outside world is concerned that the official Swedish decision to ban Huawei is likely to provoke retribution from China, and Ericsson believes the Chinese market is very significant. Ericsson has around 10 percent of the Chinese 5G market, according to estimates, and is highly dependent on Chinese subcontractors.