Device maker will shed 2,000 employees

Michelle Donegan

July 21, 2008

1 Min Read
Sony Ericsson Cuts Jobs

8:45 AM -- Sony Ericsson Mobile Communications said it will cut 2,000 jobs out of its 12,000 employees this year as part of a plan to reduce annual operating expenses by €300 million (US$476 million), after posting an operating loss of €2 million ($3.2 million) in the second quarter. (See Sony Ericsson Reports Q2.)

Sony Ericsson said competition and a slowdown in sales of mid- to high-range handsets were to blame for the dismal results in the second quarter. The company does not have a big enough business in low-end phones for emerging markets, which could help it to weather the economic slowdown in mature Western markets. (See Sony Ericsson Lowers Forecast, Handset Growth Slows, and More High-End Pain.)

— Michelle Donegan, European Editor, Unstrung

About the Author(s)

Michelle Donegan

Michelle Donegan is an independent technology writer who has covered the communications industry for the last 20 years on both sides of the Pond. Her career began in Chicago in 1993 when Telephony magazine launched an international title, aptly named Global Telephony. Since then, she has upped sticks (as they say) to the UK and has written for various publications including Communications Week International, Total Telecom and, most recently, Light Reading.  

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