Microsoft has said it will ship new flagship phones in the fall. Assuming that work is nearly completed, today's layoffs could be something more akin to game developers' being let go at the completion of a project. Microsoft's phone business should keep moving forward powered by its own momentum.
The real test will come this fall, when customers evaluate the new flagship phones, Windows 10 Mobile, and Microsoft's new strategy for its Lumia line. Only then will Nadella and the rest of his team grade Microsoft's phone business, and determine whether it will pass, or fail.
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