Microsoft Cutting 18K jobs (sorry Nokia)

[lupi]

If you're not into apps (a problem that really isn't a MS issue), I've heard the win8 phones are actually pretty nice. But they've been trying so long to have something on the hardware side in any division become the next (first?) hit, decision making not looking like one of their strong suits.

 

[SketchMaster]

After two years of owning a windows phone I can say no. The app store still sucks. I will be getting an android phone next.

I did WP7 for a year and it wasnt so bad. But then I got a Note 2 and it was so damn awesome I never wanted anything else.

Same here, I just got a S5 from work and it is so much nicer. I liked my WP8 920 and loved my 1020 for the camera, but even with 8.1 there are just so many things on my S5 that make me wish I converted last year.

The way social networks are baked into WP 8/8.1 is really great, and Cortona shows a lot of promise, but I'm tired of waiting on MS to play catch up. I'm also sick of dealing with their horrible voice recognition that doesn't understand half of what I say and can't do simple punctuation.

 

[Rustican]

MS bought Nokia to get access to patents and IP. The Lumia brand is also important because it is the defacto standard for Windows phone. MS is cutting out the overlap between the two companies. You do not need separate marketing, financial, etc departments. This is true for any large merger.

MS is also stopping future development and manufacturing of low end feature phones. So those jobs are being cut. They will focus efforts on smart phones only.

What will be left is the core engineering teams from Nokia.

 

[Markbnj]

If you're not into apps (a problem that really isn't a MS issue), I've heard the win8 phones are actually pretty nice.

I know what you're trying to say here, I think, but does it matter whether the lack of apps is directly their fault or not? Ultimately its their fault for making the wrong decisions, or even just being married to an old model in a new world.

 

[shortylickens]

So how many from America and how many from Finland?

 

[Hugo Drax]

Incorrect. They bought nokia because ballmer was a terrible ceo with no idea how to grow microsoft.



Uh... that's what they're doing. The guy has only been there a couple of months and prepping for this round of layoffs and refocusing on enterprise is probably what he's been doing during that time.

I will believe it when I see it.

That would also mean xbox will have to go.

 

[poofyhairguy]

That would also mean xbox will have to go.

Might be good thing for MS.

 

[Drako]

So how many from America and how many from Finland?

12,500 from former Nokia employees alone, most in Finland.

 

[preslove]

I will believe it when I see it.

That would also mean xbox will have to go.

I'm sure he would have gotten rid of xbox if he was hired a couple years ago. As it stands, now, the Xbox1 was just recently introduced, and it's making money, so he's probably not going to pull it.

As hard as it is to believe, there are many, many microsoft products that are doing MUCH worse than xbox, so those will be the first to go. Microsoft will probably either shut down xbox (if ends up a failure) or spin it off (if it's a success).

 

[smackababy]

MS bought Nokia to get access to patents and IP. The Lumia brand is also important because it is the defacto standard for Windows phone. MS is cutting out the overlap between the two companies. You do not need separate marketing, financial, etc departments. This is true for any large merger.

MS is also stopping future development and manufacturing of low end feature phones. So those jobs are being cut. They will focus efforts on smart phones only.

What will be left is the core engineering teams from Nokia.

This Nokia smart phone division was doing terrible anyway. MS is trimming the fat, which looks like a lot in this case.


And the MS haters are pretty funny. MSFT has continued to rise after it's giant fall after 1999.

 

[bradley]

But... but... Ballmer.

 

[Lonyo]

Incorrect. They bought nokia because ballmer was a terrible ceo with no idea how to grow microsoft.

You mean no idea how to exponentially grow Microsoft?
2006: $44.28b
2013: $77.85b

Only 7.3% CAGR over the 8 years he was in "sole" control.
Sure, not mind blowing, but you know, 75% increase in revenue over 8 years isn't the end of the world. Maybe the tech market grew faster, but what everyone ignores is all the companies that did have revenues and are now dead or dying.

Rather than comparing MS to Apple or Google or Facebook, no one compares them to Blackberry or Sega or IBM or Yahoo.

 

[smackababy]

Looks like some of those jobs are coming from the Xbox Movie Studios. Can't say they have done anything I've ever seen. Even with the shut down, they are keeping enough people on staff for the Halo series and their documentary series (with the first episode being about Atari and the incredible failure they were... maybe they learned something?).

 

[Blintok]

It really isn't comparable to any other company. Windows and Office have printed so much money with relatively low cost that this has allowed microsoft to make mistake after mistake in acquisitions, while also setting up a corporate structure where the divisions compete against each other instead of against other companies.

was there not a DOJ mandated thing where this had to happen? I recall back in the ancient days of around Win95 i think. MS was accused of unfair practices giving them advantage over competition. For example MS office products working better on Win95 because of undocumented programming features that only MS knew and did not release to the competition.

 

[jana519]

Looks like Nokia is getting the shaft from Microsoft. Kinda sucks for them.

 

[smackababy]

Maybe they shouldn't have run their smartphone division into the ground before MS bought them. Some higher ups that used to work there talked about how a buyout was pretty much inevitable, and everyone with a brain could see it. They just couldn't compete with Blackberry or Apple and then Android came along and they refused to adopt it immediately.

 

[WelshBloke]

The brand. That way international consumers are less wary about their hardware products.

Dont Microsoft lose the right to use the Nokia name in a year or two and Nokia proper can start making phones again?

From Wikipedia

As part of the deal, Microsoft acquired the Asha and Lumia brands, but only has a limited license to the Nokia brand. Microsoft can only use the Nokia brand to promote Lumia products for 18 months after the closure of the acquisition, X products through 31 December 2015, and feature phones such as the Series 30 and Series 40 series for 10 years. Microsoft will only use its own brand on new "product, applications and experiences". Microsoft also did not acquire any rights to the Nokia tune, which the company may only use on Nokia-branded devices, where it must be set as default. Nokia itself is also subject to a non-compete clause forbidding it from manufacturing any Nokia-branded phones until 31 December 2015.[161][162][163] Microsoft also took over Nokia's website and social media outlets following the closure of the deal; this arrangement will be in place for a minimum of one year after the closure.[156]

 

[desura]

Looks like Nokia is getting the shaft from Microsoft. Kinda sucks for them.

I hadn't expected this draconian layoffs because...Nokia has already laid off a ton of people in teh years before acquisition. Compared to like 5-6 years ago they're now at like 1/5 the size.

 

[Argo]

First google and Motorola. Now Microsoft and Nokia. I bet nobody is going to touch blackberry now.

 

[smackababy]

First google and Motorola. Now Microsoft and Nokia. I bet nobody is going to touch blackberry now.

Who would want to buy Blackberry? Do they still even make phones?