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  • Microsoft Confirms the Closure of Nokia's Former Cellphone Development Unit in Finland


    Microsoft recently confirmed the closure of Nokia’s cellphone development unit in Salo, Finland, along with several plans to cut roughly 2,300 jobs in the country. The whole move is part of a broader plan to refocus the company and make it more profitable.

    According to Reuters, two sites in Espoo and Tampere will stay active. That being said, the decision is still a large blow to Finland, which at one point in time depended on Nokia as a central driver of its economy. Microsoft ended up buying Nokia for $9 billion in 2013 but by that point, Nokia had already given up much of its power in the cellphone industry to companies like Apple and Samsung.

    Back in July, Microsoft revealed that it would take a $7.6 billion write-down for Nokia and lay off up to 7,800 people worldwide, most of them which were workers linked with Nokia’s phone unit. Furthermore, one month prior, Nokia CEO Stephen Elop, left Microsoft as the tech giant ended up unifying its operating system and device divisions under one new leader. Roughly 18,000 Microsoft workers were laid off in 2013, many of them in Nokia factory jobs.

    Microsoft previously intended to use Nokia as a way to popularize its Windows Phone but the platform and associated devices failed to catch on in most countries. The company was hoping to revive its phone efforts with the help of things like Windows 10 and the ability to port iOS and Android apps easily. The new strategy is very similar to that of Google’s Nexus strategy, which doesn’t generate high revenues from its Nexus phones and tablets but instead uses the device to serve as a template for what Android products can be and offer “pure” experiences without any vendor bloatware.

    We’ll have to wait and see if Microsoft’s new direction pays off for the company.

    Source: Reuters
    This article was originally published in forum thread: Microsoft Confirms the Closure of Nokia's Former Cellphone Development Unit in Finland started by Akshay Masand View original post
    Comments 2 Comments
    1. exNavy's Avatar
      exNavy -
      Hey MS why don't you buy blackberry next? I hear they have a phone that used to be popular too.
    1. Carvensno's Avatar
      Carvensno -
      Quote Originally Posted by exNavy View Post
      Hey MS why don't you buy blackberry next? I hear they have a phone that used to be popular too.
      Lmao Nice one!!!!