Microsoft To Axe 18,000 Jobs As Satya Nadella Cuts Deeper Than Expected – 17 Jul 2014 – Computing News

The job losses are the biggest in the company’s history and will fall hardest on the Nokia mobile phone business it acquired last year, where 12,500 staff will lose their jobs. That deal was completed in April and came with approximately 30,000 staff worldwide . Further reading Nadella described the job losses as “difficult, but necessary” in his announcement to staff. In a rambling open memo published last week, Nadella gave a coded warning of the job cuts and restructuring that were on the way . In it, he suggested that the company needed to re-focus from software sales to cloud services, apps and devices. Microsoft earns the lion’s share of its revenues and profits from operating systems and office applications, leaving it vulnerable to a forecast shift to the cloud, particularly in the enterprise market. The job cuts represent some 14 per cent of the company’s total workforce, which were boosted to more than 127,000 after the Nokia acquisition. The cuts will mean a pre-tax charge of between $1.1bn and $1.6bn in the Seattle-based software giant’s 2015 financial year, which began this month.
For the original version including any supplementary images or video, visit http://www.computing.co.uk/ctg/news/2355907/microsoft-to-axe-18-000-jobs-as-satya-nadella-cuts-deeper-than-expected

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