Ericsson announced yesterday that it has reached a resolution with the U.S. Department of Justice (DOJ) regarding breaches of its 2019 Deferred Prosecution Agreement (DPA). Under the agreement, and as provided for by the DPA, Ericsson will enter a guilty plea regarding previously deferred charges relating to conduct prior to 2017.
In addition, it will pay a fine of US$206.7 million, and said in a statement that the entry of the plea agreement will bring the 2019 DPA to an end.
Company CEO Börje Ekholm said “taking this step means that the matter of the breaches is now resolved. This allows us to focus on executing our strategy while driving continued cultural change across the company with integrity at the center of everything we do. This resolution is a stark reminder of the historical misconduct that led to the DPA.
“We have learned from that, and we are on an important journey to transform our culture. To be a true industry leader, we must be a market and technology leader while also being a leader in how we conduct our business.”