Ericsson to consolidate Estonian operations with new €155m tech hub


The new facility will house test labs, warehouses, production lines, and offices, providing customers and partners the ideal location for the co-creation of new mobile solutions

This week, Ericsson has announced plans to create of a new manufacturing and research facility in the Estonian capital, Tallinn.

Situated in the Ulemiste City business park, alongside the company’s existing supply factory, the €155 million investment will see the creation of a new 50,000 square metre tech hub, featuring various offices, laboratories, and testing grounds.

Ericsson says that the site will provide their partners and customers with a dedicated space for co-developing new technologies and production techniques, helping to deliver a global impact on industrialisation for volume production.

According to Ericsson, the move will create a “symbiotic relationship” between the company’s R&D efforts in their home market of Sweden and its manufacturing assets in Estonia.

“This move is in line with Ericsson’s long-term strategy for a more resilient and sustainable supply chain, significantly reducing our carbon footprint and harnessing the power of 5G for smart manufacturing,” explained Fredrik Jejdling, Executive Vice President and Head of Networks, Ericsson.

The new site will consolidate all of the company’s existing Estonian operations, providing a focal point for the company’s roughly 2,200 staff in the country.

Beyond improving R&D efforts and intercompany collaboration, the new hub will also be more sustainable than the company’s existing Estonian operations, with Ericsson suggesting it will produce 70% less carbon emissions than the company’s four current sites in Tallinn.

“This smart hub will be powered 100 percent by renewable electricity and built with optimal efficiency through AI, machine learning, robotics, and other advanced Industry 4.0 technologies,” added Jejdling.

The new site is expected to be operational in early 2026.

Ericsson’s focus on Estonia has been increasing in recent months, with the vendor having announced back in May that it was working with local mobile operator Telia to deploy a private 5G network at its existing supply site. The site is currently responsible for nearly half of Ericsson’s new product introductions – i.e., the process of turning R&D projects into viable, scalable commercial products – and plays a significant strategic role in expanding the company’s 5G portfolio.

How is the telecoms ecosystem evolving in 2023? Join the experts in discussion at this year’s Total Telecom Congress live in Amsterdam 

Also in the news:
SK Telecom overhauls AI service ‘A.’ using ChatGPT
Leveraging 5G to develop new value and unlock digital dividends
SKT invests $100m in flying taxi company Joby Aviation

Recent Posts