Rima Qureshi’s tenure as SVP and head of Ericsson’s crucial North America business abruptly ended on 11 May.

In a statement, the equipment vendor revealed long-standing exec Qureshi (pictured) had quit the company with immediate effect to “pursue another opportunity in the industry”, but did not elaborate on what her new role is.

Qureshi first joined Ericsson in 1993, becoming a member of its executive team in 2010 and taking up the role as head of its North America operation in July 2016. However, her most recent job title for the region only came into effect on 1 April, following a company restructure announced in late March.

The vendor made no mention of its ongoing partnership with Cisco – forged in November 2015 – which Qureshi is thought to have taken a lead on as part of her North American roles and a previous position as Ericsson’s chief strategy officer.

Ericsson appointed Niklas Heuveldop, SVP, chief strategy officer, and head of technology and emerging business, as acting head of its North America division while it seeks a permanent successor to Qureshi.

Borje Ekholm, Ericsson’s president and CEO, said Heuveldop brings “strong customer relationships and long experience” gained in a number of “senior positions on the regional team.”

The CEO offered assurances Qureshi’s departure would not result in a loss of focus on the North American market: “It is an exciting region with some of the world’s most advanced operators and demanding requirements.”

Major market
North America is also crucial in terms of Ericsson’s earnings. It was the only regional operation to generate double-digit sales during Q1 2017, although revenue of SEK11.8 billion ($1.3 billion) was down 10 per cent year-on-year (and 20 per cent on a sequential basis).

The region is by far the biggest contributor to Ericsson’s revenue, accounting for 25 per cent of global sales.

Ericsson attributed the Q1 regional revenue decline to a reduction in the scope of a key managed services contract – a change announced in the final quarter of 2016 – but noted mobile broadband infrastructure sales in the region in the recent quarter were stable year-on-year, and Cloud sales grew.

Ekholm recently declared Ericsson’s overall performance in Q1 as “unsatisfactory and mixed,” as the vendor announced a net loss of SEK10.9 billion and an 11 per cent decline in sales year-on-year.