Microsoft have announced that Up to 7,800 of its workers will be laid off globally. Most of the jobs are within its smartphone hardware arm of the business.
Microsoft (MSFT, Tech30) had 118,600 employees as of March 30, with about 60,000 of those workers in the United States. The cuts represents about 7% of its staff.
Since Nadella took over the company, This is the second major restructuring. He announced 18,000 layoffs in Nokia's devices and services business last year, following Microsoft (MSFT, Tech30)'s acquisition of the handset maker.
Steve Ballmer's purchase of Nokia was one of his most criticized deals. Analysts attacked the former Microsoft CEO for hampering the firm with an aging legacy business.
"It is a deal that makes no sense," Ben Thompson, an independent analyst, wrote when the acquisition was first announced. "Adding on a mobile phone business that Microsoft probably should abandon is like attaching an anchor to said straitjacket and tossing the patient into the ocean."
"We are moving from a strategy to grow a standalone phone business to grow and create a vibrant Windows ecosystem," Nadella said in Wednesday's announcement. "In the near-term, we'll run a more effective and focused phone portfolio while retaining capability for long-term reinvention in mobility."
The communications head for the country's prime minister Pekka Pekkala, Twitted that
"Finland loses 2,300 jobs...pretty much killing the city of Salo," Pekkala tweeted.
-- Chris Isidore contributed to this article
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