Saturday 10 December 2016

Microsoft to lay off 7,800 mobile phone employees amid strategic company restructure

Published 08/07/2015 | 14:36

In Ireland, Microsoft smartphones have around 10pc market share
In Ireland, Microsoft smartphones have around 10pc market share

Microsoft is to lay off 7,800 mobile phone employees and write off $7.8bn (€6.9bn) in its acquisition of phone maker Nokia.

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The move marks one of Microsoft’s costliest strategic errors in its history.

Chief executive Satya Nadella had previously announced that the company would lay off 18,000 employees in a restructuring of the company. He also said that the tech giant, which employs over 1,000 people in Dublin, would face "tough choices in areas where things are not working”.

"We are moving from a strategy to grow a standalone phone business to a strategy to grow and create a vibrant Windows ecosystem including our first-party device family," said Nadella  in an email to staff today. "In the near-term, we’ll run a more effective and focused phone portfolio while retaining capability for long-term reinvention in mobility."

Last month, Microsoft saw former Nokia chief executive Stephen Elop leave the company.

In Ireland, Microsoft smartphones have around 10pc market share.

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