In Nokia Siemens Networks (NSN), the world's second-largest maker of mobile phone network equipment, is axing 17,000 jobs, nearly a quarter of its workforce, to help save about $1.35 billion a year, said Reuters in a report.
Ever since NSN was set up in 2007, it has struggled to make a profit. The firm did not say where it would make the cuts.
The Reuters report quotes analysts as saying that this is part of a larger move to prep the company for an IPO that would be more appetizing to investors.
NSN was formed by Finnish handset major Nokia and German conglomerate Siemens to better compete in the telecom equipment market dominated by the likes of Ericsson and pushed to the edge by Chinese firms such as Huawei and ZTE.
The job cuts form part of plans for the company to focus on mobile networks and move out of fixed-line infrastructure, the Reuters report said.
It was not clear from the report if and how NSN's workforce in India would be affected, but given the huge numbers involved in the cuts, it's highly likely.
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