Nokia Will Lay Off 10 Thousand Employees

Nokia will lay off 10 thousand employees. With the layoffs, the company aims to invest more in 5G.

Finland-based telecommunications group Nokia announced that it will terminate the jobs of 10 thousand employees in order to invest more in 5G technology. In the statement made by Nokia today, it was noted that the restructuring will reduce the cost base by 600 million Euros by the end of 2023. It was also stated that this step will not have an impact on the 2021 outlook. According to the company's report, which announced plans to lay off almost 10 percent of its current workforce, the year-on-year profit decline continued. This step of Finland-based Nokia is described as an extension of its strategy to compete stronger against Stockholm-based Ericsson and to get more shares from the competitive market. Nokia CEO Pekka Lundmark stated that they have determined a sustainable, profitable growth path for the company's 4 business lines and minimized their costs for faster 5G investment.     This article has the contributions of Bloomberg HT.