BlackBerry Cut 40% Of Worldwide Workforce To Improve Ailing Finances
Ryan Martin / 5 years ago
The BBC reports that BlackBerry is preparing to cut 40% of its workforce which is around 4500 employees. The reason is clear – BlackBerry are trying to turn around their ailing finances that have been grim reading for investors so far this year. BlackBerry haven’t announced their most recent figures but are expected to post estimated losses of $995 million for Q2 of 2013. On making the announcement that it would cut 40% of its workforce shares in the company declined 17%.
BlackBerry executive Thorstein Heins said in a statement that:
“We are implementing the difficult, but necessary operational changes announced today to address our position in a maturing and more competitive industry, and to drive the company toward profitability…Going forward, we plan to refocus our offering on our end-to-end solution of hardware, software and services for enterprises and the productive, professional end user.”
Despite BlackBerry’s troubles the company have continued to churn out solid handsets including the new Z30, pictured above. They also took an unprecedented moved recently in offering their BBM app to Android and iOS users, though that release has since been delayed. One thing is certain and that is that BlackBerry is going to go through a lot of changes in the coming year. BlackBerry, along with HTC and Nokia, have all struggled in recent years as the likes of Apple and Samsung have come to dominate the most profitable parts of the smartphone market.
Image courtesy of BlackBerry