Motorola Mobility is laying off 1,200 employees, or just about 10 per cent of its existing workforce, in order to cut costs, the Wall Street Journal reported on Friday citing a company email.
According to the WSJ report, Motorola informed its employees about the decision last week via email, stating that the company was losing money because of high costs and sub-par performance in markets where it is not competitive enough. It added that the layoff will affect its employees in China, India and the US.
"These cuts are a continuation of the reductions we announced last summer. It's obviously very hard for the employees concerned, and we are committed to helping them through this difficult transition," said a Motorola spokesperson.
This latest round of job cuts comes after Google laid off 4,000 employees at Motorola last August. Google officially acquired the troubled phone manufacturer last year for $12.5 billion (£8 billion) in a bid to focus on its handset business, as well as to use Motorola's massive patent portfolio to fend off legal onslaughts from rivals like Apple and Microsoft on its Android mobile OS platform.
However, the Mountain View, California-based company has since struggled to make Motorola a profitable entity. Recently, the company's chief financial officer Patrick Pichette said that while Motorola makes great products, they don't quite meet Google's own "wow" standards.