India News | Nokia Likely to Cut Up to 14,000 Jobs as Global Sales Decline 20 Pc in Sep Quarter; India Biz Doubles
Get latest articles and stories on India at LatestLY. Finnish telecom gear maker Nokia is planning to cut up to 14,000 jobs to reduce cost as its global sales declined 20 per cent to 4,928 million euro in the September quarter.
New Delhi, Oct 19 (PTI) Finnish telecom gear maker Nokia is planning to cut up to 14,000 jobs to reduce cost as its global sales declined 20 per cent to 4,928 million euro in the September quarter.
The company's business in India more than doubled to 567 million euro (Rs 4,984 crore) during the quarter from 281 million euro (about Rs 2,470 crore) in the year-ago period.
Boost in Indian sales saved the company from the reduced spending in North America and other geographies.
"In mobile networks, net sales declined 19 per cent as we saw some moderation in the pace of 5G deployment in India, which meant the growth was no longer enough to offset the slowdown in North America," Nokia President and CEO Pekka Lundmark said in a statement.
Also Read | Odisha: POCSO Court Awards Death Sentence to 47-Year-Old for Rape and Murder of Four-Year-Old Girl.
The company sales in North America declined 45 per cent to 1,256 million euro, Greater China by 31 per cent, Europe by 12 per cent, Latin America and Asia Pacific by 21 per cent each.
Lundmark said the company is putting in place a three-tier programme that helps it save costs by 800 million-1 billion euro.
"The programme is expected to result in 72,000-77,000 employee organisation, instead of 86,000 employees Nokia has today. We will execute quickly and expect to at least achieve 400 million euro in a year savings," he said.
Lundmark said the business continued to benefit from 5G deployments in India, where net sales more than doubled year-on-year, but sales volume moderated significantly on a sequential basis as the pace of deployment has started to normalise.
"It is fair to say this quarter has dominated by continued pressure of weaker macro-economic environment and the impact of higher interest rates on operators spending," he said.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)