Nokia’s Devices and Services Division bears the brunt of the layoffs.
After purchasing the Nokia Devices and Services division earlier this year, Microsoft has announced 18,000 layoffs over the next year – the largest in the company’s history. The layoffs will affect the Nokia division which sees 12,500 layoffs and this is being done to eliminate any overlap with current Microsoft teams. CEO Satya Nadella stated that these job cuts would ensure “more productive, impactful teams across Microsoft.”
It was earlier reported that marketing teams in the Xbox division could be affected as well but Microsoft Devices group head Stephen Elop said there would be “limited change” in that regard. “With a set of changes already implemented earlier this year in these teams, this means there will be limited change for the Surface, Xbox hardware, PPI/meetings or next generation teams.”
Nadella already talked about how important the Xbox brand was to Microsoft and with the recent success of the console in the US – which doubled its sales in June after the price drop – it’s highly unlikely the situation changes any time soon. Stay tuned for more information on the same as it arrives.