Ericsson has officially started exporting 5G antennas manufactured in India to European and global markets. This move marks a strategic shift for the company, turning its Indian operations into a key hub for telecom equipment supply. The expansion is supported by production milestones at its Manesar facility and highlights India's growing role in global R&D for next-generation networks.
Ericsson has started exporting antennas produced in India to customers in Europe and other international markets. This development marks a significant transition for the company, moving from using its Indian operations primarily to serve local telecom demand to making the country a key global supply hub. The manufacturing takes place at a facility in Manesar, Haryana, operated in partnership with VVDN Technologies.
Since mid-2025, the partnership has produced over 15,000 antennas and 25 million network components. With more than 50% of the antenna content now produced locally, this shift helps the company manage its global supply chain more effectively by reducing reliance on a single manufacturing location. The move comes as India sees a rapid rollout of 5G technology, with mid-band coverage reaching 95% of the population, providing a large-scale testing ground for new network solutions.
Beyond basic assembly, the company is focusing on high-end research in India. With a team of 2,200 employees dedicated specifically to research and development out of a total Indian workforce of 22,000, the focus is on developing AI-ready networks, proprietary chip designs, and laying the groundwork for 6G technology. This shift toward local innovation and manufacturing is intended to keep the company competitive in a fast-changing telecom landscape.
The global telecom equipment sector, however, faces consistent pressure, which investors should understand when looking at such expansions. Companies in this space must balance heavy spending on research and development with the need to maintain profit margins. Global demand for telecom infrastructure can be unpredictable, and the business remains sensitive to factors like component cost inflation and currency fluctuations, which can impact profitability. Additionally, earnings for major players in this sector are often tied to intellectual property licensing revenues, which can fluctuate year to year.
Looking ahead, the company is expected to track the government's Production Linked Incentive (PLI) scheme for telecom equipment. While management has indicated an interest in participating, specific plans will likely depend on the final guidelines issued by the government. The key for investors and industry observers will be to monitor whether this export strategy can maintain strong profit margins while the company continues its heavy investment in AI and 6G development.