24 Nov 11 Nokia Siemens Networks to cut 17,000 employees

Helsinki, Sweden (AHN) – Network-equipment vendor Nokia Siemens Networks announced plans to cut 23 percent of its work force to save in order to save $1.35 billion by 2013.

The move is aimed at helping the company to make a profit so it can become independent. It is now a joint venture of Nokia Corp. and Siemens AG.

Along with cutting 17,000 jobs globally, the company announced plans to focus on its mobile broadband businesses and either manage its other noncore businesses for value or shed them.

The joint venture has struggled with losses. During the third quarter, it had operating losses of $155 million despite a 16 percent increase in revenues to $4.6 billion.

Earlier this year talks fell through on an attempt to sell a controlling stake of the venture to a consortium of private equity firms. A previous attempt with a different group of private equity firms also failed.

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