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Thursday, September 29, 2011

3,500 Nokia workers threatened by new changes

Nokia has announced new plans to ‘align its workforce and operations’ that’ll see reductions in manufacturing, its Location & Commerce business and supporting functions.

Feature phone manufacturing will be focussed on locations that are closest to suppliers and key markets, with Nokia’s manufacturing facility in Cluj (Romania) closing by the end of this year. Manufacturing operations in Salo (Finland), Komarom (Hungary) and Reynosa (Mexico) are also likely to be affected, with these three sites likely to reduce the number of personnel next year.

The previously-announced plans to create a Location & Commerce business that combines NAVTEQ and Nokia’s social location services operations will now result in the closure of operations in Bonn (Germany) and Malvern (USA).

The planned closure of the Cluj factory is estimated to affect approximately 2,200 employees, while the planned Location & Commerce changes are expected to affect around 1,300 employees. These reductions are in addition to the measures announced in April, when Nokia announced plans to transfer about 3,000 employees to Accenture and to reduce its global workforce by about 4,000 employees by the end of 2012.

Stephen Elop, Nokia President and CEO, said “We are seeing solid progress against our strategy, and with these planned changes we will emerge as a more dynamic, nimble and efficient challenger. We must take painful, yet necessary, steps to align our workforce and operations with our path forward. Europe is core to Nokia's future. In addition to our headquarters, we have a strong R&D presence in Europe. We have four major R&D sites in Finland and two major R&D sites in Germany, as well as Nokia Research Centers and other supporting R&D sites in Europe. Nokia also retains a strong local presence in our many sales offices throughout this region, as well as our operations in Salo and Komarom.”

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Opinion Articles

Ee-ee-ee, says Everything Everywhere

Mark Bridge writes:

Mobile networks have changed, haven’t they?

Once they were all about delivering service. Coverage. Quality. Price. Now it’s much more about branding.

Everything Everywhere has announced it’s to become EE, an obvious abbreviation that’s been used in mobile industry briefings pretty much since the company was created two years ago. It joins the likes of Kentucky Fried Chicken, Hennes & Mauritz, British Home Stores, Independent Television and Marks & Spencer, although all of these took decades to transition into businesses that were just described by their initials.

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Article rating: 4.0

Last week at The Fonecast: 10th September 2012

No Amazon smartphone, no Nokia tablet

Mark Bridge writes:

It’s a smartphone autumn, as prophesied a few weeks ago by the Carphone Warehouse and many others. The frenzy of big-name announcements led by Samsung at Berlin’s IFA has given way to stand-alone media presentations from Nokia, Motorola and Amazon.

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With instant-pay apps, wallets can stay home

Ted Landphair of voanews.com writes:

A lot of people gave up carrying much cash a long time ago, since they knew ‘plastic’ - a credit or debit card, or a store or public transit ‘smart card’ - would be accepted just about everywhere.

But to hear tech companies tell it, plastic cards will be museum pieces as well before long.

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Last week at The Fonecast: 27th August 2012

4G gets a boost in the UK, Samsung gets a slap in the USA

Mark Bridge writes:

It was a week of dramatic contrasts in the mobile phone industry. We started with Everything Everywhere’s news that 4G service was coming to the UK this year – possibly with a new brand that’ll work alongside Orange and T-Mobile. Meanwhile Three UK seems to have its own plans that involve acquiring some excess 4G spectrum from Everything Everywhere. There was much muttering from Vodafone and O2, although whether this’ll manifest itself as legal action remains to be seen.

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The Hare and the Tortoise: the race for 4G/LTE in the UK

Robin Kent writes:

With this week’s announcement that Everything Everywhere has been given the green light to launch the UK’s first 4G service, competing operators such as Vodafone and O2 are getting hot under the collar. With every day that goes by, these operators lose vital competitiveness as the market creeps away them towards Orange and T-Mobile. This is a real life ‘hare and tortoise’ scenario.

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