Siemens AG will cut 3,500 jobs and take other restructuring measures at its communications unit after a drop in mobile phone sales helped push that business into the red.
Admitting it was not immune to the global slowdown in mobile phones, the company told a news conference in Budapest it would not make a forecast for the second half of its business year because of market uncertainty and the restructuring at the information and communications division.
Siemens said the 3,500 job cuts from its communications business worldwide were in addition to 2,600 job losses already announced at its mobile handset business.
The jobs, mainly in marketing, would come from the enterprise networks business which provides internal telecoms networks to large corporations, with 40 percent coming in Germany and most of the remainder coming in the United States.
