STOCKHOLM, Sweden-L.M. Ericsson said it has signed a memorandum of understanding to outsource its information technology infrastructure to Hewlett-Packard as part of its plans to cut costs and move to profitability.
The decision, which will take effect at the end of the second quarter of this year, will also include the transfer of Ericsson’s IT personnel.
“By outsourcing its IT operations, Ericsson expects to substantially reduce the overall IT cost and achieve greater flexibility in adjusting resources and expertise to meet fluctuations in its business and in the industry,” said the company in a press release.
