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Ericsson to Exit Sony JV if Products Don't Sell
Posted: 30-Aug-2002 [Source: Reuters]

[Ericsson wants improved market acceptance of new handsets during the next two quarters or may pull out of joint venture with Sony.]

by Jan Strupczewski , Stockholm -- "Swedish telecoms equipment maker Telefon AB LM Ericsson said on Friday it would pull out of handset-making and end its cooperation with Sony Corp. if their mobile phone joint venture does not deliver satisfactory results in the next two or three quarters.

"The message is clear. We will not make the same mistake again," Ase Lindskog told Reuters.

"We will not put any more capital into the joint venture if it does not show results. This means unless its products quickly catch on," she said.

She declined to specify what results Ericsson would consider acceptable.

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