Ericsson's Leadership Shift
Ericsson CEO Borje Ekholm to Step Down; Per Narvinger Named Successor
Ericsson announced on Tuesday that CEO Börje Ekholm will step down at the end of September, ending a nine-year tenure that transformed the Swedish telecom giant from a struggling hardware vendor into a global 5G leader. Per Narvinger, a 29-year company veteran, will take over as President and CEO on October 1, according to Reuters.
Ekholm, who has led the company since 2017, will stay on as an executive advisor to the incoming CEO until June 15, 2027. MarketScreener reported the announcement came on Tuesday, June 16, 2026.
Ekholm Leaves After a Nine-Year Turnaround Mission
When Ekholm took the helm in January 2017, Ericsson was losing ground fast to rivals Huawei and Nokia. He refocused the company on its core networks business and led it through the global 5G rollout. "Since [2017] we have turned Ericsson around and emerged as a global communications and technology leader," Ekholm said, according to Evertiq.
His tenure was not without controversy. The company paid a $207 million fine in 2023 for breaching a deferred prosecution agreement tied to an Iraq-related corruption probe, according to Reuters. A $6.2 billion acquisition of Vonage in 2021 also drew criticism after the company took multi-billion dollar write-downs on the deal.
Who Is Per Narvinger, Ericsson's New CEO
Narvinger joined Ericsson in 1997 and has spent nearly three decades rising through its ranks. His experience covers research, technical standardization, and global sales, with long stints in Australia and Spain. In March 2025, he was promoted to Executive Vice President and Head of Business Area Networks.
"It is a great honor to step into this role," Narvinger said, according to Investing.com. "As AI continues to industrialize, this will increasingly require advanced connectivity solutions." Board Chair Jan Carlson backed the pick, saying Narvinger has "deep technical knowledge" and has "proved himself in several key leadership positions."
Ericsson Faces Margin Pressure Heading Into the Transition
The leadership change comes at a tricky moment. Ericsson posted Q1 2026 sales of SEK 49.3 billion, with 6% organic growth year-over-year, according to PR Newswire. But margins dipped 11.3% due to currency headwinds and rising semiconductor costs. The company also booked SEK 3.8 billion in restructuring charges, largely for severance.
Analysts have flagged a slowdown in North America, where U.S. operators pulled back on spending in early 2026. The company narrowly missed profit forecasts in Q1, putting immediate pressure on Narvinger to protect margins. To support the stock, the Board approved a SEK 15 billion share buyback program in April 2026.
Board Calls It Orderly Succession From a Position of Strength
Ericsson's board framed the transition as a planned handover, not a crisis move. Chair Jan Carlson said the company's global market position is "stronger than ever," according to Investing.com. Narvinger's background in cloud software signals that Ericsson plans to push harder into software-defined, AI-native networks.
Narvinger is seen as a "homegrown" pick, which analysts say typically steadies employee morale during major shifts. Ericsson reported annual revenue of $24.19 billion in 2025. The company has already cut around 5,000 jobs in 2025 and 2026 as it restructures for what it calls the "physical AI era."
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