MICROSOFT’S mobile phone business is to bear the brunt of 7,800 fresh job cuts announced by the technology giant.
The firm also said it would take a $7.6 billion (£5bn) writedown on assets acquired from Nokia, despite only paying $7.2bn for the business last year.
“The future prospects for the phone hardware segment are below original expectations,” Microsoft said yesterday as it announced the latest shake-up.
Last summer, the group unveiled the largest round of job cuts in its history, with 18,000 roles being axed as it worked to integrate the former Nokia business.
In an e-mail to staff, chief executive Satya Nadella said: “I am committed to our first-party devices, including phones. However, we need to focus our phone efforts in the near term while driving reinvention.”
He added: “We are moving from a strategy to grow a standalone phone business to a strategy to grow and create a vibrant Windows ecosystem that includes our first-party device family.”