This e-mail to employees from Satya Nadella says that Microsoft will be taking a $7.6 billion impairment charge and cutting 7,800 employees, most of which are in the company's phone business.
I want to update you on decisions impacting our phone business and share more on last week’s mapping and display advertising announcements. We anticipate that these changes, in addition to other headcount alignment changes, will result in the reduction of up to 7,800 positions globally, primarily in our phone business. We expect that the reductions will take place over the next several months.
Today, we announced a fundamental restructuring of our phone business. As a result, the company will take an impairment charge of approximately $7.6 billion related to assets associated with the acquisition of the Nokia Devices and Services business in addition to a restructuring charge of approximately $750 million to $850 million.