Research and development, so critical to Nokia’s success in the past, is taking another knock from the accountants.

Following the lead set by the car industry, Nokia have decided to temporarily lay off employees at their manufacturing site in Salo to bring production in line with demand.  This mainly affects high end handsets which are viewed as particularly susceptible in the current recession.

Potentially more problematic is the mobile device R&D centre at Jyväskylä will be closed affecting the 320 employees based there.  Nokia admit that the Jyväskylä team has been contributed to the success of many of their hit products.  So is it a good idea to disband a successful team especially as the success of Nokia has been in its innovation?  Time will tell.

 

http://www.nokia.com/A4136001?newsid=1289393