Ericsson Reports Lower Than Expected Profit Due to Rising Chip Costs and AI Demand
Ericsson reported a first-quarter adjusted operating profit of 5.2 billion Swedish crowns, missing market expectations of 5.4 billion crowns. The shortfall is attributed to rising chip costs driven by AI demand and a sales slowdown in North America. The company's shares fell 1.6% following the report.
Topics: AI Demand Chip Costs North America Sales Profit Miss Stock Performance