Redmond silently makes new job cuts in phone division

Jul 30, 2016 08:52 GMT  ·  By

Microsoft has fired thousands of employees after buying Nokia’s Devices and Services unit, in an attempt to restructure the company and streamline work in the phone unit, but it turns out that more layoffs are taking place these days, in addition to those announced earlier this year.

Microsoft revealed in May that 1,850 people would be let go from its phone unit, but according to The Register, an additional 2,850 smartphone and sales workers are also being laid off.

The job cut was announced by Microsoft in a 10-K report to the SEC in which it confirms that a new round of layoffs is expected to be completed by the end of June 2017.

“In addition to the elimination of 1,850 positions that were announced in May 2016, approximately 2,850 roles globally will be reduced during the year as an extension of the earlier plan, and these actions are expected to be completed by the end of fiscal year 2017.”

A Justin Timberlake performance just for employees

“As of June 30, 2016, we employed approximately 114,000 people on a full-time basis, 63,000 in the U.S. and 51,000 internationally. Of the total employed people, 38,000 were in operations, including manufacturing, distribution, product support, and consulting services; 37,000 in product research and development; 29,000 in sales and marketing; and 10,000 in general and administration.”

The aforementioned source goes on to reveal that Microsoft started the new round of layoffs only a few days after holding a dedicated event for employees in Orlando, Florida, where Justin Timberlake was the special guest to deliver an on-stage performance just for the Softies.

Leaving this little detail aside, it’s very clear that this new round of layoffs shows that Microsoft is still looking for a more effective way to continue work on Windows phones, especially because Redmond is believed not to be planning any new Lumia devices anymore. The only model that could be launched by Microsoft is the Surface Phone, which, according to sources, should see daylight in spring 2017.