July 17, 2014
/PRNewswire/ -- Microsoft Corp. today announced a restructuring plan to simplify its operations and align the recently acquired Nokia Devices and Services business with the company's overall strategy.
These steps will result in the elimination of up to 18,000 positions over the next year. Of the total, about 12,500 professional and factory positions will be eliminated through synergies and strategic alignment of the Nokia Devices and Services business acquired by Microsoft on
The actions associated with the plan are expected to be substantially complete by
Dec. 31, 2014
, and fully completed by
June 30, 2015
The company expects to incur pre-tax charges of
$1.1 billion to $1.6 billion
over the next four quarters, including
$750 million to $800 million
for severance and related benefit costs, and
$350 million to $800 million
of asset-related charges.
The plans were outlined in an email from Microsoft CEO
to Microsoft employees, and an email from Microsoft Executive Vice President
to Microsoft Devices Group employees. To read Nadella's email, see
. To read Elop's email, see
Founded in 1975, Microsoft (Nasdaq "MSFT") is the worldwide leader in software, services, devices and solutions that help people and businesses realize their full potential.
Note about forward-looking statements.
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