Nokia (NYSE:NOK) announced a series of layoffs today and the market reaction was a bit mixed. In the video below, Motley Fool tech and telecom analyst Eric Bleeker tells us why he sees this as a very positive move for the long term. He tells us to try not to focus so much on the short-term market fluctuations, and instead keep an eye to how Nokia is repositioning itself from a top brand in inexpensive commodity phones to its goal of cementing itself as a solid third-place competitor in the smartphone market. To do that, reducing its costs by making employment cutbacks is a necessary (though unfortunate) move.
Eric Bleeker, CFA has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.