Google's Motorola Mobility unit is to shed another 1,200 jobs or 10 percent of its workforce as the smartphone maker tries to return to profitability, Google said on Friday.
The lay-offs come on top of the 4,000 jobs cut at Motorola Mobility in August as Google seeks to make more smartphones and fewer simple handsets.
"These cuts are a continuation of the reductions we announced last summer," spokeswoman Niki Fenwick said in an email to Reuters.
"It's obviously very hard for the employees concerned, and we are committed to helping them through this difficult transition," she added.
The Wall Street Journal reported the lay-offs earlier on
Friday, citing a company email.
The email about the job cuts, which will affect workers in the United States, China and India, said, "our costs are too high, we're operating in markets where we're not competitive and we're losing money," according to the Journal.
Google bought the money-losing cellphone maker for $12.5 billion last year, its largest acquisition ever, aiming to use Motorola Mobility's armoury of patents to fend off legal attacks on its Android mobile platform and expand beyond its software business.
But the acquisition raised concerns on Wall Street that Google was entering a business with much lower profit margins.
Source:
© Copyright 2024 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.
The lay-offs come on top of the 4,000 jobs cut at Motorola Mobility in August as Google seeks to make more smartphones and fewer simple handsets.