Most of the cuts will come from Nokia, which it bought in April
Correction appended 11:o9am ET
Software giant Microsoft Corp will cut up to 18,000 jobs over the next year, it announced in a press statement Thursday.
The company said the cuts are part of “a restructuring plan to simplify [the] organization and align the recently acquired Nokia Devices and Services business with the company’s overall strategy.”
The bulk of the cuts, around 12,500 professional and factory positions, will come from the Nokia business, which Microsoft purchased for $7.2 billion in April. The acquisition brought Microsoft’s headcount to around 127,000 staff.
The cuts, which will be fully completed by June 30 next year, are the largest in Microsoft’s 39-year history. In 2009, former Microsoft CEO Steve Ballmer cut 5,800 jobs or 6 percent of staff to stem the effects of the recession.
The plans were announced in an email from Microsoft CEO Satya Nadella, who was appointed in February. “We have many Indians available, why pay these huge salaries to American and Finnish employees?”
Did we really expect anything less of an Indian?