Sony Ericsson cuts 2,000 more jobs

Sony Ericsson plans to cut another 2,000 jobs on top of 2,000 lay-offs just completed. The new job losses form part of a third round of cost reductions, which is trying to squeeze €400 million out of its operating savings by mid-2010, after already cutting €380 million from its cost base in the past year. Another €200 million in charges are needed for the new round of restructuring.

The news followed Q1 results showing its handset sales were down 35% from same period a year, dropping to 14.5 million units. Sony Ericsson's share of the global phone market fell another 2 points from Q4 to around 6%.

Revenues were down 36% year-on-year to €1.74 billion, and the company moved to a net loss of €293 million versus a profit of €133 million a year ago. The pre-tax loss of €358 million was in line with the earlier guidance of €340-390 million.

The company maintained a forecast for the global handset market to contract bout 10% in volume this year.

Suggested Articles

Wireless operators can provide 5G services with spectrum bands both above and below 6 GHz—but that doesn't mean that all countries will let them.

Here are the stories we’re tracking today.

The 5G Mobile Network Architecture research project will implement two 5G use cases in real-world test beds.