It has been recently confirmed that Microsoft will be slashing 2,850 workers from their company. The major reason behind slashing of the employees is because of the failed acquisition of Nokia in the year 2014. Nokia made good business at some point of time until smart phones came into existence. Nokia was the leader of the market however after the launch of the Android based smart phones, Nokia could not do much in the market.
They lost their market share year on year. The platform was acquired by Microsoft to turn the company into a very profitable venture. Microsoft has glorious post the acquisition. Things actually did not turn the way it was supposed to be. Around 900 people have been notified already by the company and around 1850 people will be additionally notified for leaving the company.
The total acquisition of the Nokia by Microsoft cost them a total sum of $7.2 billion with the charges for restructuring additionally. After the elimination of the employees by the Microsoft it is estimated that now no trace of the employees of Nokia is left in the company. Microsoft is also additionally developing the apps for the Android and iOS. The takeover of the Nokia was one of the major business initiatives done by the company. The takeover happened under the leadership of the CEO Steve Ballmer and Satya Nadella.
The only issue which slowed down the progress of the Nokia was because of the slow adaptation progress of the company. After the takeover of the company, Microsoft has also not been able to do much justice with the company. Now Microsoft is planning to change their image by adapting some reengineering techniques for their devices. The current market share of the Microsoft phones stands at less than 4 percent worldwide in the market. They should be doing something real quick to makeover their image in the market.