Mobile phone maker Sony Ericsson reported its first profit in nearly two years, thanks in large part to the company's cost-cutting strategy that will shut down its once-thriving Research Triangle Park facility sometime this year.
Sony Ericsson's RTP facility once housed about 1,000 high-tech workers after the company went on a hiring binge in a bid to overtake rivals Nokia and Samsung in the global quest for market dominance in cell phone sales. But Sony Ericsson never gained traction and the remaining 425 employees here were told last November the RTP office would be shut down.
The Japanese-Swedish joint venture is in the midst of dismantling the RTP site and other facilities, and not reporting local employment totals.
As part of a company-wide restructuring, Sony Ericsson is cutting 10,000 employees, or about 20 percent of its global workforce.
Sony Ericsson is playing catch-up in a bid to regain some of its lost market share. As the company rolled out trendy camera phones and Walkman music phones, rivals surged ahead with smartphones with keyboards, browsing and navigation.
Sony Ericsson CEO Bert Nordberg said the company's new smartphones, the Xperia X10 and Vivaz, have been well-received by the marketplace, according to the Associated Press.