Nokia to cut up 1,800 jobs, expects its volume market share to fall slightly for the year

Apple Online Store“Espoo, Finland-based Nokia swung to a €529 million ($737.9 million) net profit in the three months to Sept. 30 from a €559 million loss a year earlier, when the result was hit by heavy impairment charges,” Gustav Sandstrom reports for The Wall Street Journal.

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“Third-quarter sales rose 4.7% to €10.27 billion, but without the benefit of new smartphone and software launches that the company hopes will reshape its fortunes,” Sandstrom reports. “Nokia said it plans to cut up 1,800 jobs and simplify its production organization for Symbian smartphones.”

Sandstrom reports, “The company raised its full-year operating margin guidance at its dominant devices and services segment to 10% to 12% from 10% to 11% previously, but said it now expects its volume market share to fall slightly in 2010 from 2009, against a previous forecast for flat volume-market-share development.”

Full article here.

MacDailyNews Take: Nokia employee motto: MeeGo. With the way high-priced executives are flying out of there, you’d think they’d be able to leave the hoi polloi alone for awhile as they ride the profits from flooding the developing world with commodity-grade, low margin cellphones.

12 Comments

  1. Not to worry. They got that new Captain Ahab from Microsoft to lead them through these troubled times. (Man the little whale boats and row away before that ship is crushed and sinks to the bottom.)

  2. Not to worry. They got that new Captain Ahab from Microsoft to lead them through these troubled times. (Man the little whale boats and row away before that ship is crushed and sinks to the bottom.)

  3. I dont get it. They loose market share, they cut jobs, their stock is overvalued at a P/E of 32, and the stock gains 6% this morning?

    Apple´s earnings grew 70% with a P/E barely over 20, and the stock went down immediately.

    Can anybody explain please?

  4. I dont get it. They loose market share, they cut jobs, their stock is overvalued at a P/E of 32, and the stock gains 6% this morning?

    Apple´s earnings grew 70% with a P/E barely over 20, and the stock went down immediately.

    Can anybody explain please?

  5. Yes Touch, and these idiots think that Apple is too high. Sad and pathetic. And those idiots get paid to talk. This is a market that Apple owns. They can take a little share or the whole thing. Does someone think that IF Apple wanted to take a mini iPod and turn it into a cheap crap cellphone that they don’t know how to do that? Apple doesn’t want that part of the market. Let Nokia keep that LOW PROFIT end of the market.

  6. Yes Touch, and these idiots think that Apple is too high. Sad and pathetic. And those idiots get paid to talk. This is a market that Apple owns. They can take a little share or the whole thing. Does someone think that IF Apple wanted to take a mini iPod and turn it into a cheap crap cellphone that they don’t know how to do that? Apple doesn’t want that part of the market. Let Nokia keep that LOW PROFIT end of the market.

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