After dramatic losses in its cell phone business, Ericsson will completely outsource these activities to the global contract manufacturer Flextronics in order for substantial restructuring Under the terms of this agreement, Flextronics will be responsible for the following: industrialization and product introduction, management of the supply chain on a global basis, manufacture of mobile phones designed by Ericsson, and customization, pack-out and logistics management. Initially, Flextronics will acquire certain working capital and equipment and will assume management responsibility for certain manufacturing operations.
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