Microsoft confirms it will lay off 7,800 more employees, mostly from phone division

Microsoft has now confirmed rumors that information technology plans to lay off 7,800 employees, near of which will come up from its telephone division.

These new workforce reductions are in improver to the 18,000 Microsoft employees that were laid off in the past 12 months. Microsoft as well appear information technology would tape a one time damage charge of $seven.6 billion due to a write downward of the company'due south acquisition of Nokia's Devices and Services partitioning in 2022. There will as well exist a restructuring charge of approximately $750 million to $850 million. Microsoft stated:

"Microsoft will record a charge in the fourth quarter of fiscal 2022 for the impairment of assets and goodwill in its Phone Hardware segment, related to the NDS business. This charge has no touch on cash flow from operations and is nondeductible for income tax purposes. Based on the new plans, the future prospects for the Phone Hardware segment are beneath original expectations. Accordingly, the company concluded that an impairment adjustment of its Phone Hardware segment assets and goodwill of approximately $7.6 billion is required."

Microsoft expects that the majority of layoffs will be completed by the terminate of 2022, and all of them will have been made by the end of the company'south current financial year, which ends on June 30, 2022.

Source: Microsoft{.nofollow}

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