Mobile Titan Nokia Slashing 10,000 Jobs
Thursday was a day of mixed emotions for mobile giant Nokia in the headlines. In addition to confirming the acquisition of Sweden-based Scalado, which is aimed at strengthening Nokia’s imaging assets, the company also revealed some less-than-optimistic developments.
Nokia says it is cutting approximately 10,000 jobs from the company's global workforce by the close of next year. The cost-cutting measures are said to be essential for the protracted financial solvency of the organization.
"These planned reductions are a difficult consequence of the intended actions we believe we must take to ensure Nokia's long-term competitive strength," said Nokia Chief Executive Stephen Elop today. "We do not make plans that may impact our employees lightly, and as a company we will work tirelessly to ensure that those at risk are offered the support, options and advice necessary to find new opportunities."
Despite an aggressive plan to turn Nokia around, the company doesn't believe the circumstances will change quickly, and definitely not in the next quarter.
"We are increasing our focus on the products and services that our consumers value most while continuing to invest in the innovation that has always defined Nokia," Elop added. "We intend to pursue an even more focused effort on Lumia, continued innovation around our feature phones, while placing increased emphasis on our location-based services. However, we must re-shape our operating model and ensure that we create a structure that can support our competitive ambitions."