Swedish telecom equipment giant Ericsson has reported a sharp 32.5 per cent drop in its net sales in India during the second quarter of 2025, with revenues falling to USD 230 million (approximately ₹1,974 crore). The decline is attributed to Indian telecom operators slowing down their investments in network infrastructure, as revealed in the company’s latest quarterly earnings report.
In the corresponding quarter last year, Ericsson’s sales in India stood at around USD 341 million, accounting for 6 per cent of the company’s global revenue. This share has now slipped to 4 per cent, as operators adopt a cautious approach toward network expansion and upgrades.
“Sales in India were weak, as operators held back on new network investments,” the company noted in its Q2 performance review. Despite the slowdown, India remains one of Ericsson’s key markets in terms of absolute revenue contribution.
Globally, Ericsson posted a 6 per cent drop in net sales, which stood at 56.1 billion Swedish Krona (USD 5.9 billion). The broader South East Asia, Oceania and India region also experienced a steep 28 per cent year-on-year decline, with sales amounting to 5.5 billion SEK (approximately USD 578 million).
The company pointed to a reduction in network investments in India and intensifying competition across Southeast Asia as the primary factors behind the regional decline. Additionally, the performance of Ericsson’s Cloud Software and Services division was impacted due to delays in project execution.
Despite the dip in sales, Ericsson managed to secure a significant win during the quarter a multi-year managed services contract from Bharti Airtel to oversee network operations. The agreement underlines the company’s continued strategic partnership with one of India’s leading telecom operators.
The outlook remains cautious, with Ericsson signaling that investment headwinds in key emerging markets like India may continue to weigh on network sales in the near term.