Reply to post: Re: Not Sony

Microsoft SLASHES 7,800 bods, BURNS $7.6bn off books in Nokia adjustment

Anonymous Coward
Anonymous Coward

Re: Not Sony

That's a $4 million loss on the gross margin (unadjusted margin).

UM = (Sales price) minus (manufacturing cost + shipping + marketing + warranty + etc.)

That is before you take into account R&D costs (which give you your product contribution, i.e. bottom line).

32,000 employees were transferred. After that MS pink slipped ~18,000 (true, of the 18,000 not all were former Nokia staff).

So that leaves ~14,000 employees left. Say it costs MS $200,000 per year per employee (salary + office space + computer + IT infrastructure + pension + insurance + ...).

Loss = ~$2.8 billion per year. That a lot of $ to absorb.

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