Nokia Plans to Cut 900 Jobs in Networks Unit

Nokia, the world’s largest cell phone maker, plans to cut 900 jobs in its networks division because of a continuing slump in demand for wireless network equipment.

The Finnish firm, which employs 19,000 in its network operations, said most of the cuts would be made by the end of the year in batches of “a few employees in most countries to around 100 in some larger” ones.

The job cuts involve mostly network delivery and maintenance services.

Last month, Nokia reported a 46% increase in second-quarter net profit, mainly because of strong profitability in its key mobile phone unit. But sales of network equipment dropped 22%, and the company warned of tougher times ahead.

Nokia shares fell 3 cents to $11.25 on the New York Stock Exchange.