Friday, May 27, 2016

Microsoft to cut up to 1850 jobs in smart phone business

"We are focusing our phone efforts where we have differentiation", said chief executive Satya Nadella in a statement.

Microsoft has gone as far as stating that Nokia's sales division is protected, and that the job cuts are focused entirely on Microsoft's Mobile Oy.

Microsoft has made a decision to finally hammer the nail on Nokia phones.

Though the statement does not hint at a Surface phone, it does point to the continuation of its Windows 10 Mobile operations either, which gives hope to fans anticipating the Surface phone.

Microsoft's Lumia and Windows Phone strategy has failed as both sales and Windows Phone market share have declined since the tech giant's mobile restructuring past year. 'Our company will be pragmatic and embrace other mobile platforms with our productivity services, device management services, and development tools, ' Myerson told staff, 'regardless of a person's phone choice, we want everyone to be able to experience what Microsoft has to offer them. It's likely that Microsoft fans have made the Windows Store their home, but you can't help but wonder if the general public has chose to follow suit.

Microsoft is also still producing "higher end phones" which includes their own branded phones and the Lumia line. Last July, the company said it planned to cut as many as 7,800 jobs and write down the handset business by US$7.6bil while earlier this month it agreed to sell its feature phone unit.

The workforce that had been remaining was but a mere fraction of the roughly 25,000 workers who had joined Microsoft as a result of the company's acquisition of Nokia's handset business in 2011, according to The New York Times.

Overall this is a smart move by Microsoft.

The company recently also came up with its Continuum feature which allows a smartphone, utilizing Windows 10 platform to perform as a PC when connected with a monitor and keyboard. A seamless bridge between all devices seems to be their ultimate goal. With more gadgets and Xbox becoming the "living room" piece of Windows 10, this means Microsoft won't be stepping away any time soon. They are making cuts elsewhere and refocusing and it is a good thing to see Xbox as one of their key products.


Source: Microsoft to cut up to 1850 jobs in smart phone business

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