Is Ericsson a Product-Based Company?

Ericsson is one of the world’s most important telecom technology companies, known for building the network infrastructure that powers mobile communication across the globe — Yes, Ericsson is mainly a product-based company. It develops and sells telecom hardware, network software, 5G systems, cloud-native core networks, radio access network equipment, private wireless solutions, and enterprise connectivity platforms.

However, Ericsson is not a simple consumer product company like Apple or Samsung. Its products are mostly used by telecom operators, enterprises, governments, and public-sector organizations. The company also provides services, managed operations, and support, but its main identity is built around telecom technology products and network solutions.

Ericsson

Ericsson Company Quick Overview

Detail Information
Full Legal Name Telefonaktiebolaget LM Ericsson
Brand Name Ericsson
Founded 1876
Founder Lars Magnus Ericsson
Headquarters Stockholm, Sweden
Company Type Public
Stock Exchange Nasdaq Stockholm, Nasdaq New York
Industry Telecommunications, Networking, 5G, Cloud Software
Sales 2025 SEK 237 Billion
Employees Around 89,000
Granted Patents 60,000+
Countries Served 175+
Current CEO Börje Ekholm
Incoming CEO Per Narvinger from October 1, 2026
Core Products 5G networks, RAN, Core Network, Cloud Software, Private 5G, Network APIs
Key Competitors Nokia, Huawei, Samsung Networks, Cisco, ZTE

What Makes Ericsson a Product-Based Company?

Ericsson is product-based because it builds and sells its own telecom infrastructure products. Its products are used by mobile operators to run 4G, 5G, and future 6G networks. These include radio units, antennas, base stations, network software, cloud-native core systems, orchestration tools, and automation platforms.

The company’s official annual report describes Ericsson as a leading provider of mobile connectivity solutions for communications service providers, enterprises, and the public sector. It also says Ericsson delivers high-performing, programmable, and energy-efficient networks.

This shows that Ericsson’s core business is not manpower outsourcing. Its main business is advanced telecom technology.

Ericsson’s Main Product Portfolio

Ericsson’s product portfolio is mainly built around Networks, Cloud Software and Services, and Enterprise solutions. Its Networks business includes mobile network equipment and software used by telecom companies to build and improve mobile connectivity.

Its Cloud Software and Services division provides core network solutions, network automation, managed services, service orchestration, and telecom business support systems. Ericsson says this portfolio helps communications service providers move toward cloud-native software and automated operations.

Its Enterprise business focuses on private 5G, wireless WAN, network APIs, and enterprise connectivity solutions. These products are important for factories, ports, mines, defense, public safety, transport, and industrial automation.

5G Leadership and Network Technology

Ericsson is one of the global leaders in 5G technology. According to its 2025 Annual Report, Ericsson supplied 206 live 5G networks in 85 countries by the end of 2025, including 55 live 5G standalone networks. It also reported that around 50% of all mobile traffic outside China runs over Ericsson networks.

This is a strong sign of a product-based telecom company. Telecom operators do not simply hire Ericsson for small projects; they buy Ericsson’s network systems, software, and infrastructure to run large-scale mobile networks.

Services Exist, But Products Lead

Ericsson does provide services such as network deployment, managed services, consulting, maintenance, and operational support. These services are important because telecom networks are complex and need expert handling.

But these services mainly support Ericsson’s products. The company first sells telecom equipment, software, and platforms, then provides services to help customers install, operate, improve, and maintain those systems. This is similar to companies like Nokia, Cisco, Oracle, and SAP, where services exist around the main product business.

AI, Automation and 6G Direction

Ericsson is also investing heavily in AI-native, secure, and autonomous mobile networks. Its 2025 results highlighted continued R&D investment in AI-native and autonomous networks, while the annual report says the company wants to lead telecom by building advanced mobile networks powered by and optimized for AI.

The company is also preparing for 6G. Ericsson says future networks will need ultra-low latency, better uplink speeds, edge computing, network slicing, and autonomous operations. These areas further strengthen its identity as a technology product and network infrastructure company.

Career Angle for Freshers

For students and job seekers, Ericsson can be considered a product-based telecom technology company. It is especially suitable for people interested in telecommunications, 5G, cloud software, embedded systems, networking, AI, automation, cybersecurity, DevOps, testing, and network engineering.

Overall, Ericsson is mainly a product-based company, but it also has a strong services side. Its core business is building telecom products, network software, 5G infrastructure, private wireless systems, and advanced connectivity platforms.