Staff Report

Up to 1,850 jobs will be impacted as Microsoft Corp. plans to streamline the company’s smartphone hardware business, the company announced on Wednesday.

The company anticipates that there will be 1,350 job cuts at Microsoft Mobile Oy in Finland and an additional 500 jobs globally, a press release reads. It is not yet known if any jobs on the Redmond campus will be affected.

“We are focusing our phone efforts where we have differentiation — with enterprises that value security, manageability and our Continuum capability, and consumers who value the same. We will continue to innovate across devices and on our cloud services across all mobile platforms,” said Satya Nadella, chief executive officer of Microsoft, which will record an impairment and restructuring charge of approximately $950 million, of which approximately $200 million will relate to severance payments.

Microsoft will record a charge in the fourth quarter of fiscal 2016 for the impairment of assets in its More Personal Computing segment, related to these phone decisions.

The reductions are expected to be substantially complete by the end of the calendar year and fully completed by July 2017, the end of the company’s next fiscal year. More information about these charges will be provided in Microsoft’s fourth-quarter earnings announcement on July 19, 2016, and in the company’s 2016 Annual Report on Form 10-K.