Nokia Plans Layoffs, Strategic Change, Exec Change-Up
Nokia today announced a significant reorganization of its business in hopes of saving costs and becoming more efficient. The company plans to lay off approximately 10,000 workers worldwide through several plant closings and the consolidation of other facilities. The layoffs are expected to be complete by the end of 2013. Nokia also plans to renew its focus on core parts of its business that will help it shore up its Lumia smartphones and feature phones. The company will invest in technologies that will make its phones stand out from competitors' devices, and will invest in more location-based technology to further differentiate its phones. Nokia also said that it plans to offer a wider range of low-cost Windows Phones, similar to the Lumia 610. As part of today's announcement, Nokia said that it plans to focus its marketing and sales activities on key markets, streamline its IT and other support organizations, and reduce investments in non-core assets. The strategic reorganization also brings with it significant changes to the company's leadership ranks. Chris Weber, who has spearheaded Nokia's efforts in North America for the past year, has been promoted to executive vice president of sales and marketing. Other promotions include Tuula Rytila to senior vice president and chief marketing officer, and Susan Sheehan as senior vice president of communications. Mary MacDowell, who has served as executive vice president of mobile phones, is leaving the company. Other departures include Jerri DeVard, executive vice president and chief marketing officer and Niklas Savander, executive vice president of Markets. The departures are effective June 30 and the new leadership roles will go into effect July 1. Nokia believes all these changes will help it become more competitive in the market.
Fire Stephen Elop, The CEO of Nokia
The only way for Nokia to survive this is to maintain yet minimize its reliance on Windows mobile. Simutlaneously, it must introduce an android line-up which would allow it to generate some income while windows mobile OS develops.
Microsoft just needs to buy Nokia
Let the games begin!