Nokia: Multimedia Unit To Streamline R&D Activities

HELSINKI -(Dow Jones)- Nokia Corp. (NOK) said Tuesday that its Multimedia Business Group will streamline its global research and development activities.

Downsizing is mainly expected to materialize in Germany and Finland. The number of personnel reductions will be decided after negotiations with employee representatives are finalized.

This activity reflects Nokia's recently announced aims to increase the efficiency of research and development work across the company.

Nokia has earlier set a target to bring overall Nokia R&D expenditure down to 9%-10% of net sales by the end of 2006.

The planned reductions are expected to materialize gradually during 2005. The negotiation process will aim to find alternative solutions and assignments for as many employees as possible within Nokia.

(END) Dow Jones Newswires "

Posted to the site on 11th January 2005