Ericsson and Nokia have confirmed that they will exit the Russian market entirely by the end of 2022 in response to the country's invasion of Ukraine earlier this year.
The telecommunications industry won an exemption from broader global sanctions against Russia on humanitarian grounds, but both companies suspended and scaled back operations shortly after the conflict began. (opens in a new tab)
Ericsson said it would provide financial assistance to those affected by the pullout, while Nokia had previously said it would seek work abroad for some of its 2.000 Russian employees.
Cisco in Russia
"Since announcing the indefinite suspension of business operations in Russia in April 2022, we have worked closely with our customers and employees on the implications," an Ericsson spokesperson told TechRadar Pro.
“Ericsson will phase out its business activities in Russia as we meet our obligations to our customers in the coming months. Ericsson currently has 400 employees in Russia and we are fully committed to providing financial and welfare support to all employees who will be affected. Many of our employees were already on paid vacation.
"By the end of the year, the vast majority of our employees in Russia will have left Nokia and we have left all of our offices," a Nokia spokesman told Reuters.
"We will maintain an official presence in the country until the legal closure ends."
Both companies have a limited presence in Russia, with Huawei and ZTE being much more influential. This latest development means that the two Chinese providers are likely to exert more control over the market, although the development of Open RAN technologies could help operators bridge the technology gap.
Hundreds of Western companies have planned to close or sell their businesses in Russia, while others have suspended shipments of their products to the country.
That includes networking giant Cisco, which made its temporary suspension permanent in June. (opens in a new tab)
Via Reuters (Opens in a new tab)