By smoke 
In Featured News by Wireless EstimatorJanuary 20, 2025
In President Donald Trump’s inaugural speech, one of the first actions he said he would take today was to “end the Green New Deal.” His timing was perfect for wireless contractors who learned this morning of Ericsson’s move to mandate participation in its “Net Zero” Climate Initiative, which has drawn sharp criticism from contractors who say the requirements are impractical, unsustainable, and unrelated to the core functions of telecommunications.
The Swedish telecom giant’s demands, outlined in a letter to vendors obtained by Wireless Estimator, include submitting a detailed emission reduction plan and aligning with climate goals that many contractors find burdensome and misaligned with their operations.
This is not a voluntary program that contractors can opt out of since Ericsson’s management was quite explicit in their statement: “Moving forward, your commitment to reducing carbon emissions will be a deciding factor when considering bids and renewing contracts.”
Unfunded mandates continue to strain contractors.
The controversy highlights growing frustration within the wireless industry over what contractors perceive as a cascade of unfunded mandates imposed by prominent players like Ericsson. Contractors argue that such initiatives add unnecessary obligations to their already challenging roles, where they use diesel trucks, cranes, and specialized equipment to ensure reliable wireless coverage.
“These mandates don’t even make sense for the benefit of telecom,” one contractor expressed. “We’re in the business of building and maintaining infrastructure, not becoming environmental analysts. We drive diesel trucks, construct cell sites, and risk our lives so people can have five bars of coverage. We’re being asked to comply with initiatives far removed from our core mission.”
Economic pressures from Ericsson’s pricing
Contractors also point to Ericsson’s pricing practices as a long-standing issue, accusing the company of suppressing project budgets to unsustainable levels. With the addition of climate mandates, many feel the burden is becoming untenable.
“Most of us are small operations with a handful of trucks,” said another contractor. “Now we’re expected to fill out detailed emissions plans and comply with regulations that require significant resources and expertise we don’t have. It’s another onerous obligation we can’t afford.”
Calls for FCC intervention
Critics have called on the Federal Communications Commission (FCC) to examine whether such mandates align with the agency’s broader vision. They argue that while environmental sustainability is a worthy goal, it should not be at the expense of the small businesses that form the backbone of the wireless infrastructure supply chain.
“We need the FCC to step in and assess if this is where the industry should be heading,” said a contractor. “Ericsson isn’t even an American company. Why are U.S. contractors bearing the brunt of their global initiatives? These policies feel more like a political statement than a practical business decision.”
Ericsson’s stance and response
Ericsson’s letter emphasized the importance of aligning with its sustainability goals, citing resources such as the SME Climate Hub and GHG Calculation Tools to assist contractors in meeting requirements. However, the company acknowledged the complexity of the process and offered guidance for completing the emissions template.
While the tone of the communication was collaborative, many contractors feel the timing and scope of the initiative are ill-suited to their operational realities.
Broader industry implications
The debate underscores a growing tension between the push for corporate sustainability and the practical limitations of small contractors in the telecom supply chain. Critics argue that the industry must find a balanced approach to sustainability—one that supports environmental goals without jeopardizing the viability of essential contributors to the wireless ecosystem.
“This is just another nail in the industry’s coffin,” said one contractor. According to Wireless Estimator, many of the industry’s long-term contractors are closing their doors since they can’t survive with the matrix pricing mandated by the country’s oligarchy of three carriers. As contractors voice their concerns, the hope is that policymakers and industry leaders will take note and work toward solutions that address the needs of all stakeholders. Whether the FCC or other regulatory bodies will step in to examine these mandates remains to be seen. Still, for many contractors, the message is clear: sustainability initiatives must be achievable and relevant to the industry they serve.