Nokia Takes a Step Back from Virtual Reality

Nokia Corp. announced Tuesday that it will slash approximately one-third of its technologies unit workforce.

The reason? According to a report from MarketWatch, the company is shifting focus away from a “stalling” virtual reality market in order to ramp up its focus on digital health.

“The company said that up to 310 of its 1,090 employees in the unit will be affected by the move, with the majority of jobs likely to be lost in Finland, the U.S. and the U.K.,” the report notes.

For the time being, Nokia will halt development of new versions of its OZO VR camera and hardware.

“The company will focus more on growing its brand and technology licensing while accelerating growth in the digital-health market,” the report concludes, noting further that Nokia has been “easing back into the consumer electronics market, steadily building a new portfolio of connected digital-health products.”