Nokia is cutting 310 jobs as part of a restructure at its Technologies arm and is hiring two senior execs as it looks to make good on a promise to focus on the enterprise market.
The Finland-based vendor said the job cuts at Nokia Technologies, affecting almost one-third of the division’s 1,090 headcount, came amid “slower-than-expected development of the VR market”.
Investment in this area will be reduced and future versions of its Ozo camera, unveiled in 2015, will be halted, the company said.
Staff in Finland, the US and the UK are set to be affected, according to a statement.
The news comes less than a month after Nokia said it planned to cut almost 600 jobs in France.
Moving forward, Nokia said it would look to focus its Technologies arm on opportunities in licensing and healthcare.
Details were sparse, but Nokia looks to be following what it has done with licensing its brand to HMD Global in the smartphone market.
Gregory Lee, President of Nokia Technologies, said: "Nokia Technologies is at a point where, with the right focus and investments, we can meaningfully grow our footprint in the digital health market, and we must seize that opportunity.”
Nokia Technologies saw sales surge 58 percent in the first half of the year, but it only accounts for €616 million out of total revenues of €11 billion.
Meanwhile, Nokia has made two new appointments as it looks to expand its base of customers outside of the telecoms sector.
Chris Johnson has joined from HPE to lead what Nokia described as “global enterprise verticals”, while Mike Calabrese has been promoted to a role as Head of Webscale and Large Enterprise.
The vendor unveiled a new strategy last year, which promised a focus on verticals including transportation, energy, public sector, finance and web services.
In June, it won a deal with local government in the US, which followed other contract wins with Xiaomi and Portugal’s national railway infrastructure operator this year.
At Mobile World Congress, Nokia CEO Rajeev Suri said success would be dependent on finding the right salespeople.