Once the biggest mobile phone maker on the planet, Nokia is struggling to keep its head above water amidst rising competition. The company which once led the smartphone world with its Symbian OS has long lost its dominant position to newer adversaries thanks to the arrival of Android and iOS operating systems. The company expected to be back in the reckoning with the arrival of its Windows Phone based devices. That however is yet to happen with Windows Phone sales yet to gather steam.
In order to make things better for the company in the coming years, Nokia has decided to take some tough measures. Earlier today, it announced a slew of major organizational changes that according to them will turn around the fortunes of the company in the next few quarters. The most talked about announcement that Nokia made today was about the job losses that could affect as many as 10,000 of its employees worldwide. Nokia is expected to close its facilities in Finland, Canada and Germany apart from “refocusing” its marketing strategy as well as reducing ‘non-core’ assets.
Nokia has also decided to give away its Vertu brand to private equity group EQT VI. That deal is expected to be closed by the end of 2012 and will reduce Nokia’s ownership of Vertu to just 10 percent.
Some nosier executives within the company too have been shown the door as a part of this restructuring. They include chief marketing officer Jerri Devard, executive VP of mobile phones Mary McDowell and executive VP of markets Niklas Savander – all of whom would step down from their respective posts effective June 30.
