Swedish telecom gear maker Ericsson announced that chief executive Borje Ekholm will leave after more than nine years. The board named veteran Per Narvinger, currently head of the networks division, as the new CEO effective October 1. His exit follows a board drive for strategy as 5G rollout slows.

Narvinger joined Ericsson in 1997 and has rotated through senior roles, from leading the Northern and Central Europe units to running the cloud software and services business. He took charge of the core networks segment early last year, where he oversaw the rollout of 5G radio access and secured multi‑year carrier contracts, bolstering the company’s significant order backlog.

Investors will watch Narvinger’s ability to translate technical depth into margin expansion as Ericsson battles price pressure from rivals and a slowdown in telecom spend. The leadership change could sharpen focus on high‑margin software services, a sector that now represents roughly a third of revenue. Narvinger’s first quarter immediately will reveal whether the transition sustains earnings momentum.