Microsoft Corporation (NASDAQ:MSFT) Lays Off More Employees From Microsoft Mobile Oy, Finland


Finnish newspaper, Helsigin Sanomat has revealed that Microsoft Corporation (NASDAQ:MSFT) has slashed off more employees from its mobile business.

The layoffs particularly involve the company’s marketing division in Finland according to the news report. The company’s subsidiary in Finland is called Microsoft Mobile Oy. The name was adopted when the firm acquired the handset business from Nokia Corporation (ADR) (NYSE:NOK).

The company announced in 2015 that it was going to terminate 2,300 jobs in the country as well as shutting down the Salo Lumia manufacturing division. Finland had about 3,200 people employed by Microsoft at the time. The layoffs were part of the 7,800 jobs that Microsoft had announced in July 2015 would be terminated.

One of the firm’s spokespersons has revealed that the current job cuts are not part of the job cuts announced in July. Most of the layoffs are from the mobile business. The spokesperson also revealed that the job cuts affect different business areas of Microsoft and different countries. They are also part of the company’s strategy to adapt to different business requirements. The spokesperson further added that the layoff process and the adapting is carried out with a lot of consideration as well as respect for those people that are affected.

Microsoft has not been doing very well in the phone department. The company sold 4.5 million handsets in the last quarter of 2015. Officials from the firm told analysts from the Wall Street Journal that there the low sales trend is expected to continue into the next quarter. Microsoft is currently trying to follow through with its decision to reduce the number of handsets that it manufactures. This strategy will allow the company to focus on a few broad categories.

The current situation has raised questions about the future of the firm’s mobile devices. Though the mobile division has lagged behind, Microsoft is still making good progress in other areas such as the Surface and PC divisions.