Nokia Siemens to increase investment in mobile broadband

As part of the restructuring programme, which will see Nokia Siemens Networks reduce its global workforce by approximately 17,000 by the end of 2013, the company has said it will increase its investment in mobile broadband.The Chief Executive Officer, Nokia Siemens, Mr. Rajeev Suri, in a statement on Monday, said the company would target end-to-end mobile network infrastructure and services with a particular emphasis on mobile broadband.He said, "We believe that the future of our industry is in mobile broadband and services and we aim to be an undisputed leader in these areas. At the same time, we need to take the necessary steps to maintain long-term competitiveness and improve profitability in a challenging telecommunications market."Our goal is to provide the worlds most efficient mobile networks, the intelligence to maximise the value of those networks, and the services capability to make it all work seamlessly.""Despite the need to restructure parts of our company, our commitment to research and development remains unchanged, with investment in mobile broadband expected to increase over the coming years," he added.Suri noted that Nokia Siemens Networks would realign its business to focus on mobile broadband (including optical), customer experience management and services.Business areas not consistent with the new strategy, according to him, are planned to be divested or managed for value.Quality and innovation would continue to be priorities for the company, with ongoing investment in both areas, Suri noted.The Nokia Siemens Networks boss, said the company had targeted to reduce its non-International Financial Reporting Standards annualised operating expenses and production overheads by 1bn by the end of 2013, compared to 2011."While these savings are expected to come largely from organisational streamlining, the company will also target areas such as real estate, information technology, product and service procurement costs, overall general and administrative expenses, and a significant reduction of suppliers in order to further lower costs and improve quality," Suri said.
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