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Microsoft Lays Off 'Dozens' as It Cuts Costs in Mobile Division: Report

Microsoft Lays Off 'Dozens' as It Cuts Costs in Mobile Division: Report

By Manish Singh | Updated: 11 February 2016 14:47 IST

Microsoft is reportedly laying off many of its employees related to its mobile division in multiple countries including Finland, in an attempt to cut costs.

The report comes courtesy Finnish publication Helsigin Sanomat, which says that dozens of employees have been let go from the company. The report claims that the company is handing out pink slips to employees in an attempt to curtail the expenses in its mobile division. The division saw a significant drop in the revenue last quarter.

"The job reductions were spread across more than one business area and country and reflect adaptations to business needs. We go through this process in the most thoughtful manner possible, with the deepest respect for affected individuals," a Microsoft spokesperson told ZDNet in a statement. We've reached out to the company to check whether employees at Microsoft India are also being let go.

The report adds that some of the employees that are being let go are part of a marketing department created after the merger with Nokia's Devices and Services team.

Under the realm of Satya Nadella, Microsoft has been slowly curtailing its workforce. In July last year, the Redmond, Washington based company handed out pink slips to 7,800 employees. It was the second job cut under Nadella's leadership.

In 2014, not long after assuming the position of CEO of the company, he announced that 18,000 people are being let go as part of a major restructuring. The restructuring took place as Microsoft merged Nokia's Devices and Services team into its mobile division as part of the acquisition it made with Finnish company.

As of current, Microsoft is making big bets on mobile front. The company has substantially reduced manufacturing smartphones, but is aggressively making apps for rival Apple's iOS and Google's Android. Microsoft is also partnering with many OEMs to pre-load its apps on their smartphones. The company announced on Thursday that it now has 74 Android OEM and hardware partners.

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