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Electronics Production | March 31, 2005

"Huawei is acting natural"

"It is natural that Asian competitors are beginning to pop up. Though the tactics that Chinese competitors, like Huawei, are using does not indicate how the long-term pricing level will be developed", said Ericsson's CEO Carl Henrik Svanberg in an interview with FT.
What Svanberg means is that if we in Europe where more active and willing to break in to the US market we would do the same as Huawei. We would search for a risk willing operator and give them an offer they can't resist. Svanberg doesn't know how much cheaper the Chinese competitors can be. Ericsson has about 75% of it's supply chain in China and many of the costs are related to installations that even the Chinese have.

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