Nokia Networks to further develop operational efficiency and optimize its structures and processes to meet current business needs

Nokia Networks, the infrastructure division of Nokia Corporation, will put into place a plan to further improve operational efficiency in order to ensure overall competitiveness. The target is to align the organization to the current business environment and to meet the challenges of the future. This will involve rightsizing the current organization while ensuring a strong basis for future businesses, including the 3G mobile infrastructure and mobile-services middleware businesses.

Nokia will start employment discussions with the relevant labor representatives in those areas expected to be impacted by this business refocusing. The changes are estimated to decrease the number of personnel by 900 - 1000 people globally. The changes are planned to take place gradually and be largely completed by the end of this year.

The key target of this restructuring is to bolster operational excellence and competitiveness by further developing the Nokia Networks' organization in order to always meet changing market requirements. The planned changes will help not only to align resources with Nokia Networks' current business environment but also to restructure its applications development to even better address the requirements of the coming Mobile World.

At the same time, Nokia Networks will strengthen its presence at the direct customer interface and prepare for a strong 3G ramp up. This organizational development will enable Nokia Networks to serve its customers well not only in today's fast changing environment, but also tomorrow's.

Nokia Networks currently employs 23 000 people globally.

Nokia is the world leader in mobile communications. Backed by its experience, innovation, user-friendliness and secure solutions, the company has become the leading supplier of mobile phones and a leading supplier of mobile, fixed broadband and IP networks. By adding mobility to the Internet Nokia creates new opportunities for companies and further enriches the daily lives of people. Nokia is a broadly held company with listings on six major exchanges.

Further information:

Arja Suominen,
Nokia Networks, Communications
tel. +358 7180 38193
e-mail: nokia.networks@nokia.com

www.nokia.com