Nokia is slashing more jobs and will offload its luxury phones brand, as it bids to stem losses amid tough competition at the top of the smartphone market.
The Finnish phone-maker will shed 10,000 jobs across the globe by the end of 2013. A restructuring program will also see the closure of research and development projects in Germany and Canada.
Vertu, Nokia’s high-end handset division, will be sold to EQT, a private equity firm, for an as yet undisclosed fee. Nokia will retain a ten per cent stake, however.
The latest round of cuts takes total job losses to 40,000 since former Microsoft head of business Stephen Elop took the reigns at the beleaguered tech giant.
Timo Ihamuotila, Chief Financial Officer at Nokia, said: "Nokia is significantly increasing its cost-reduction target for devices and services in support of the streamlined strategy announced today.
"With these planned actions, we believe our devices [and] services business has a clear path to profitability.
“Nokia intends to maintain its strong financial position while proceeding aggressively with actions aimed at creating shareholder value."
The company’s recent travails follow worse than expected sales for its Windows Phone powered Lumia handsets, as well as strong demand for Apple iPhones and Android smartphones.