Nokia Siemens Networks to Slash 17,000 Jobs Amid Re-Org
Nokia Siemens Networks today said that it is restructuring its business to better focus on the mobile broadband and services markets. As part of the broad reorganization, NSN plans to cut 17,000 employees from its global workforce by the end of 2013. Nokia Siemens has about 74,000 employees today, and the cuts amount to a massive 23% of its total employee base. In order to accomplish this workforce reduction, NSN said it will consolidate facilities and functions, simplify processes, eliminate the company's matrix organizational structure, as well as realize certain synergies with the acquisition of Motorola networking business and technology. "We believe that the future of our industry is in mobile broadband and services - and we aim to be an undisputed leader in these areas," said Rajeev Suri, CEO of Nokia Siemens Networks in a prepared statement. "At the same time, we need to take the necessary steps to maintain long term competitiveness and improve profitability in a challenging telecommunications market." Nokia Siemens Networks' parent companies, Nokia and Siemens, have struggled with defining their joint venture's future, which is set to expire in 2013. They tried unsuccessfully to sell it to investors and abandoned those plans earlier this year.