Telecoms equipment giant Nokia Siemens Networks has said it will be shedding 17,000 staff globally in an attempt to bolster profitability in a stagnating network gear market.
The company plans to cut a quarter of its workforce by the end of 2013 in a restructuring that will allow it to focus in mobile broadband equipment.
Nokia Siemens CEO, Rajeev Suri, said the elimination would help the group cut annual operating costs by around $1.35bn by the end of 2013.
“As we look towards the prospect of an independent future, we need to take action now to improve our profitability and cash generation. These planned reductions are regrettable but necessary,” Suri said.