Nokia prepares to sell luxury Vertu brand and cut 10000 jobs

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It seems that Nokia’s painful restructuring process has just turned very real for 10,000 people, as the Finnish manufacturer has announced it will be laying off 10,000 workers globally as second quarter losses from its phone business was larger than expected. “These planned reductions are a difficult consequence of the intended actions we believe we must take to ensure Nokia’s long-term competitive strength,” Mr Elop said in a statement. The job cuts will also be accompanied by plant closings, as well as closing some R&D locations, like those located in  Ulm in Germany and Burnaby in Canada. The company has also confirmed that it will be also selling Vertu, its luxury mobile phone division to a private equity firm EQT. Nokia will still have a 10% minority stake in the brand, though the new owners have said that they plan to develop the brand independently.

Source: Huffington  Post, Marketwatch