Microsoft Lumia and Windows Phone have never really got anywhere, with a less than 10% market share the platform isn’t really that popular. Microsoft has decided this week that 7,800 employees from the phone business will be laid off which is actually 6% of total Microsoft employees as well as writing of $7.5B from the Nokia business. However the company has stated that it int going to give up on Windows Phones.
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Satya Nadella, Microsoft CEO sent an internal email to staff regarding the change:
“We are moving from a strategy to grow a standalone phone business to grow and create a vibrant Windows ecosystem including our first-party device family,” Nadella said. “In the near-term, we’ll run a more effective and focused phone portfolio while retaining capability for long-term reinvention in mobility.”
Microsoft are still going to be making phones:
“I am committed to our first-party devices including phones,” Mr. Nadella said. “However, we need to focus our phone efforts in the near term while driving reinvention.”
Microsoft has less than 5% market share at 3.6% – whereas Android has 53.2% and Apple has 41.3% share of the phone market.