Microsoft plans sacking 2,850 workers, following losses in Nokia deal
In the wake of $7.6 billion losses in its venture with Nokia, Microsoft has announced to lay off 2,850 workers. CEO Satya Nadella gave the nod.
Microsoft has announced on Friday to lay off 2,850 workers, following its failed $7.6 billion losses in the failed venture with with the Finland firm Nokia. Microsoft has previously announced sacking about 1,850 jobs in a statement.
Reportedly, the IT giant had to face some bitter experiences due to the losses in its Nokia venture, leading to massive losses in the smartphone hardware arena, reported IANS.
It is going to retrench about 4,700 jobs globally by the end of fiscal year 2017, reported the tech magazine on Friday. Last month, the company had announced cutting down 7,400 jobs from its smartphone business unit.
Earlier in May, signalling the end of its Nokia experiment, Microsoft announced it was cutting 1,850 jobs and writing off $950 million of which $200 million will be used for severance payments.
Reportedly, it is trying its best to recover from its business debacle, reported media.
"We are focusing our phone efforts where we have differentiation -- with enterprises that value security, manageability and our Continuum capability, and consumers who value the same," Indian-born Microsoft CEO Satya Nadella said in a statement.
"We will continue to innovate across devices and on our cloud services across all mobile platforms," Nadella added.
According to a recent report in The Verge, the latest job cuts mean that the majority of former Nokia employees will no longer be working at Microsoft.
Almost a year ago, Nadella had announced a "more effective and focused phone portfolio" with business, value phones and flagships gaining prominence.
"We're scaling back, but we're not out!" said Terry Myerson, Microsoft's head of Windows and devices.
"Phone success has been limited to companies valuing our commitment to security, manageability, and continuum, and with consumers who value the same," Nadella added.
Microsoft's Lumia and Windows Phone strategy has failed as both sales and Windows Phone market share have declined since the tech giant's mobile restructuring last year.