Ericsson has cut its sales forecast for mobile phone systems by 20% compared to last year as global demand falls. The troubled mobile equipment manufacturer has also announced a loss of $418 million in the three months ending September.
The Swedish company is the world’s biggest seller of mobile telecoms network equipment. However, its sales during the last quarter fell to $3.58 billion compared to $5.83 billion last year.
The Swedish company has already cut its workforce to reduce costs. But it is still warning that the network equipment market could fall significantly more than the 20% predict for this year, as cash strapped mobile operators cut their investment plans.