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Ericsson Retains Its Crown – Barely

Ray Le Maistre
1/31/2013

Ericsson AB is still king of the telecom network infrastructure vendors but only by the narrowest of margins.

The Swedish vendor today announced full-year 2012 revenues of 227.8 billion Swedish kronor (US$35.84 billion), just ahead of the 220.2 billion yuan renminbi ($35.4 billion) generated by Huawei Technologies Co. Ltd. last year. (See Ericsson Spies Networks Payoff and Huawei Expects 10%+ Growth in 2013.)

The Chinese company might be top of the pile by the end of this year, though, if it can achieve its predicted 10 percent sales growth.

By contrast, Nokia Siemens Networks has just reported 2012 revenues of €13.78 billion ($18.43 million). (See Has NSN Turned a Corner?)

Alcatel-Lucent reports its fourth-quarter and full-year numbers on Feb. 7 but will not be troubling Ericsson and Huawei at the top of the sales leaderboard: Instead it will be battling NSN for third place.

— Ray Le Maistre, International Managing Editor, Light Reading

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Ray Le Maistre
Ray Le Maistre
2/1/2013 | 1:03:55 PM
re: Ericsson Retains Its Crown – Barely
I totally get your point and you are right, but the 'fair' point opens a Pandora's box.... eg does Ericsson have zero sales to enterprises? Is converting yuan and krona into US$ fair to compare the sales of competing companies?

I would love to get my hands on detailed breakdowns of sales by product types to specific customer sets for each of the vendors. Alas...-áIf I was doing this as an analyst (industry or financial) then I'd have to lay down a long list of criteria (and any such list would then be open to questions of fairness). But this is more a rough indication of -áthe power shift among major vendors and more light-hearted than any serious in-depth analysis would be (but no joke).-áIt's more akin to a back-of-the-envelope comparison over a drink in a pub (the kind of analysis in which I specialize).And for those wondering why Cisco doesn't get a mention -- I took into consideration those companies that sell a broad range of network equipment systems and supporting services primarily to network operators - Cisco still has most of its sales to non-telcos.-áOf course, ZTE fits into this category -- it will still be 5th largest when it reports its full year 2012 numbers.
pjbclarke
pjbclarke
2/1/2013 | 5:10:55 AM
re: Ericsson Retains Its Crown – Barely
I believe Huaweis 220b was for the whole company. In order for a fair comparison withe e// shouldn't you back out handsets and enterprise ?
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