Besides savings from staff cuts, Nokia Siemens will also target areas such as real estate, information technology, product and service procurement costs, overall general and administrative expenses, and aim for a significant reduction of suppliers in order to further lower costs and improve quality, the company said.
"What we are seeing now is a genuine attempt to turn it into a single company with no overlapping functions," said Newman, who also hopes Nokia Siemens has a clear idea of where it is going to make cuts, so it doesn't turn into a drawn-out process that drags the company down.
Nokia Siemens will now begin talks with employee representatives in accordance with country-specific legal requirements.
Additional reporting by Mikael Rickns, IDG News Service
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