(MENAFN) Ericsson, the world's biggest mobile network equipment maker, announced it is planning to close its loss-making modem business and resulting in the departure of about 1000 staff, The Peninsula Qatar reported.
Ericsson said it made its decision due to falling prices of modems, and a shrinking market as more smartphone makers buy modems together with processors, which Ericsson does not make.
The Swedish company said the decision to end the development of modems would mean that around 1.000 staff will be leaving.
However some of the other employees will be hired at the company's new research and development unit within the company's core radio networks business which is expected to be set up in Sweden's Lund and have 500 employees.
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