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February 8, 2016updated 04 Sep 2016 10:27pm

More job cuts at Blackberry, as turnaround plan targets cost cutting

News: The company says the impact will be less than speculated.

By CBR Staff Writer

Blackberry has reportedly cut close to 35% of its workforce working in its Waterloo, Canadian headquarters, with an additional 75 employees being cut in Florida.

According to a report from Mobilesyrup, the job cuts will impact around 1000 employees, with most of the jobs being cut from its BlackBerry 10 and Devices teams.

About 150 jobs will be impacted from its device team.

However, the company’s representative told Fortune that the number of people affected by the job cuts will be lower compared to the numbers projected in media.

Blackberry representative told the newspaper: "As BlackBerry continues to execute its turnaround plan, we remain focused on driving efficiencies across our global workforce.

"This means finding new ways to enable us to capitalise on growth opportunities, while driving toward sustainable profitability across all parts of our business.

"As a result, approximately 200 employees have been impacted in Canada and Florida. It also means that BlackBerry is actively recruiting in those areas of our business that will drive growth. For those employees that have recently left the company, we know that they have worked hard on behalf of our company and we are grateful for their commitment and contributions."

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Recently, the company was seen moving away from its own operating system for Android devices.

The company had introduced its Android-based smartphone Priv in November featuring a physical keyboard, while renewing commitment for its Blackberry 10.

In January BlackBerry CEO John Chen said a post: "While we continue to invest in BlackBerry 10 in 2016, we will also develop another Android-based phone. We’ll share more details about our roadmap when we’re ready."

Its Blackberry operation system is struggling in the smartphone operating system race with Samsung’s Tizen operating system managing to surpass Blackberry and Firefox OS in the global OS market race.

Tizen holds 0.3% of the market share followed by Blackberry, which has only managed to capture 0.2% of the market, while Firefox could not even make the list.

Last month, the company also shut its BlackBerry software programme which was launched to create a robust app ecosystem for its Black Berry 10 operating system.

BlackBerry had reported a smaller quarterly loss for fiscal Q3 and its first quarter-to-quarter revenue gain in more than two years.

For the quarter ended 28 November 2015, the company reported a loss of $89m, or 17 cents per share, compared to $148m, or 28 cents a share, in the year-ago period.

 

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