From phones to 5G powerhouse: Why Nokia still employs thousands despite layoffs


Daijiworld Media Network – New Delhi

New Delhi, Mar 30: Once the world’s largest mobile phone maker, Nokia has again made headlines with plans to cut up to 14,000 jobs — nearly 20 per cent of its global workforce. While the move has raised concerns, it has also prompted a key question: what does Nokia actually do today?

Though no longer manufacturing phones directly, Nokia remains a major player in the global telecom ecosystem. The company exited the handset business in 2014, selling its mobile devices division to Microsoft, but retained its core technology and infrastructure operations.

Today, Nokia operates largely behind the scenes, building the backbone of communication networks. It provides critical infrastructure that enables mobile connectivity, internet access, and data transmission across the world. In simple terms, Nokia develops the systems and equipment that allow devices to connect and communicate seamlessly.

The company is also a key supplier in the rollout of 5G networks, with hundreds of commercial agreements globally and partnerships with telecom providers and private network operators. Its technology supports billions of mobile subscriptions across more than 150 countries.

Beyond hardware, Nokia generates significant revenue through intellectual property. Holding over 26,000 patent families, the company earns royalties from technologies used in a wide range of devices — including smartphones — even though it no longer sells them directly. Its brand, meanwhile, continues in the phone market through licensing deals with firms like HMD Global.

Nokia’s work now spans advanced areas such as AI-driven network management, autonomous systems capable of self-optimisation, and research into next-generation 6G connectivity.

The ongoing layoffs are part of a restructuring strategy announced in late 2025, aimed at streamlining operations into two main segments — Network Infrastructure and Mobile Infrastructure. The company says the move is intended to align with evolving customer needs and tap into rising demand driven by AI and advanced connectivity.

Despite stepping away from consumer phones, Nokia continues to be a global telecom giant — powering the digital networks that underpin modern communication.

 

 

  

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Title: From phones to 5G powerhouse: Why Nokia still employs thousands despite layoffs



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