Ericsson announces global restructuring and new APAC unit

Ericsson has announced a major restructuring of its global operating structure and Executive Team, scheduled to take effect on January 1, 2027. The overhaul aims to streamline research and development capabilities, reduce operational costs, and better align infrastructure with emerging technologies such as AI agents.

A central component of the reorganization is the creation of a unified Market Area Asia-Pacific (APAC). This new unit will merge the existing North East Asia division with the South East Asia, Oceania, and India division. Patrick Johansson, the current Head of Market Area Europe, Middle East and Africa (EMEA), will lead the new APAC unit. Chafic Nassif and Andres Vicente will manage the transition before stepping down from their current executive roles on December 31, 2026.

Additionally, Ericsson plans to dismantle its Business Area Enterprise Wireless Solutions (BEWS) to integrate its capabilities directly into R&D to eliminate fragmented operations. CEO Per Narvinger stated that the changes will result in a leaner Executive team and allow the company to operate more effectively while maintaining close contact with customers at the country level.