Struggling Nokia downsizes in move to London

Paddington to be the platform for a fresh attempt to revive the fortune's of the Finnish mobile firm

Mobile phone giant Nokia is to move its head office to London as part of the turnaround of the struggling Finnish firm.

Nine months ago its chief executive told the phonemaker's staff that they were "standing on a burning platform" and would have to jump into the "icy waters" below. The company is making 4,000 job cuts globally and as part of the restructuring it will close its large head office in Farnborough and relocate to to an office in Paddington in central London. Staff were told of the latest restructuring decisions in London last week.

But it has emerged that Nokia is close to selecting a 60,000 sq ft office near Paddington station. The development at Kingdom Street is already home to mobile phone network operators Vodafone and Orange as well as retailers Marks & Spencer and Kingfisher.

Nokia is in the middle of a turnaround and following the job cuts it launched last week a new phone – the Lumia 800. The phone has been well received but Nokia has a long way to go. Before the launch of the iPhone in 2007, Nokia was the main provider of mobile phones in Europe. It remains the world's biggest mobile phone manufacturer but its global share of sales last year fell below 30 per cent for the first time. It has to compete with Google's Android offerings alongside Apple's iPhone.

Nokia teamed up with Microsoft in an attempt to keep up in the fast-paced tech telecoms world and the Lumia 800 is the first product from the tie up. It has also announced it will launch a tablet rival to Apple's iPad that runs on Microsoft's Windows platform in the summer of 2012.

Nokia's design team is already in a small office in Soho. But Nokia hopes the move to Paddington will boost its credentials in the tech telecoms world. The space is more expensive than offices outside London, but the smaller space – 60,000 sq ft to house up to 400 people – is less than a quarter of the size of its current office in Southwood, Farnborough. Nokia announced in April 700 of its 2,400 British staff would lose their jobs.

It had originally looked at alternative offices in Woking, Weybridge and Stockley Park near Heathrow, but it decided central London would improve the calibre of people it could attract to the firm.

But it has snubbed Tech City in East London – the area promoted by the Government for technology companies to move to – an area that stretches from Silicon Roundabout at Old Street eastwards to Stratford.

Nokia is not the first business to turn down the East London area. Telefónica, Europe's largest telecoms company, has preferred a central London location.

Despite the snubs by Telefónica and Nokia, Tech City has attracted Google, which has committed to opening a hub for start -ups.

Last week, Tech City organiser Kevin Eyres, a former European managing director of LinkedIn, published an appeal for at least 70 more mentors to add to the existing 30 to advise the infant tech enterprises in the area.

Nokia could not confirm details of the move but said that staff had only been told "a new location for UK employees will be found in London". A spokesman said: "Our choice is dictated by the design of the building, the surrounding area and facilities and good transport links."

CBRE advised Nokia.

Suggested Topics
Sport
Luis Suarez and Lionel Messi during Barcelona training in August
footballPete Jenson co-ghost wrote Suarez’s autobiography and reveals how desperate he's been to return
News
newsMcKamey Manor says 'there is no escape until the tour is completed'
Voices
Hunted: A stag lies dead on Jura, where David Cameron holidays and has himself stalked deer
voicesThe Scotland I know is becoming a playground for the rich
News
people
PROMOTED VIDEO
Arts and Entertainment
Architect Frank Gehry is regarded by many as the most important architect of the modern era
arts + entsGehry has declared that 98 per cent of modern architecture is "s**t"
Arts and Entertainment
Soul singer Sam Smith cleared up at the Mobo awards this week
newsSam Smith’s Mobo triumph is just the latest example of a trend
News
Laurence Easeman and Russell Brand
people
News
ebooksAn unforgettable anthology of contemporary reportage
Sport
Fans of Dulwich Hamlet FC at their ground Champion Hill
footballFans are rejecting the £2,000 season tickets, officious stewarding, and airline-stadium sponsorship
News
Shami Chakrabarti
people
Arts and Entertainment
Benedict Cumberbatch has refused to deny his involvement in the upcoming new Star Wars film
filmBenedict Cumberbatch reignites Star Wars 7 rumours
Sport
football
News
news
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Compensation and Benefits Manager - Brentwood - Circa £60,000

£60000 per annum: Ashdown Group: Compensation and Benefits Manager - Compensat...

Data Analyst/Planning and Performance – Surrey – Up to £35k

£30000 - £35000 Per Annum plus excellent benefits: Clearwater People Solutions...

IT Systems Business Analyst - Watford - £28k + bonus + benefits

£24000 - £28000 per annum + bonus & benefits: Ashdown Group: IT Business Syste...

Markit EDM (CADIS) Developer

£50000 - £90000 per annum + benefits: Ampersand Consulting LLP: Markit EDM (CA...

Day In a Page

Wilko Johnson, now the bad news: musician splits with manager after police investigate assault claims

Wilko Johnson, now the bad news

Former Dr Feelgood splits with manager after police investigate assault claims
Mark Udall: The Democrat Senator with a fight on his hands ahead of the US midterm elections

Mark Udall: The Democrat Senator with a fight on his hands

The Senator for Colorado is for gay rights, for abortion rights – and in the Republicans’ sights as they threaten to take control of the Senate next month
New discoveries show more contact between far-flung prehistoric humans than had been thought

New discoveries show more contact between far-flung prehistoric humans than had been thought

Evidence found of contact between Easter Islanders and South America
Cerys Matthews reveals how her uncle taped 150 interviews for a biography of Dylan Thomas

Cerys Matthews on Dylan Thomas

The singer reveals how her uncle taped 150 interviews for a biography of the famous Welsh poet
DIY is not fun and we've finally realised this as a nation

Homebase closures: 'DIY is not fun'

Homebase has announced the closure of one in four of its stores. Nick Harding, who never did know his awl from his elbow, is glad to see the back of DIY
The Battle of the Five Armies: Air New Zealand releases new Hobbit-inspired in-flight video

Air New Zealand's wizard in-flight video

The airline has released a new Hobbit-inspired clip dubbed "The most epic safety video ever made"
Pumpkin spice is the flavour of the month - but can you stomach the sweetness?

Pumpkin spice is the flavour of the month

The combination of cinnamon, clove, nutmeg (and no actual pumpkin), now flavours everything from lattes to cream cheese in the US
11 best sonic skincare brushes

11 best sonic skincare brushes

Forget the flannel - take skincare to the next level by using your favourite cleanser with a sonic facial brush
Paul Scholes column: I'm not worried about Manchester United's defence - Chelsea test can be the making of Phil Jones and Marcos Rojo

Paul Scholes column

I'm not worried about Manchester United's defence - Chelsea test can be the making of Jones and Rojo
Frank Warren: Boxing has its problems but in all my time I've never seen a crooked fight

Frank Warren: Boxing has its problems but in all my time I've never seen a crooked fight

While other sports are stalked by corruption, we are an easy target for the critics
Jamie Roberts exclusive interview: 'I'm a man of my word – I'll stay in Paris'

Jamie Roberts: 'I'm a man of my word – I'll stay in Paris'

Wales centre says he’s not coming home but is looking to establish himself at Racing Métro
How could three tourists have been battered within an inch of their lives by a burglar in a plush London hotel?

A crime that reveals London's dark heart

How could three tourists have been battered within an inch of their lives by a burglar in a plush London hotel?
Meet 'Porridge' and 'Vampire': Chinese state TV is offering advice for citizens picking a Western moniker

Lost in translation: Western monikers

Chinese state TV is offering advice for citizens picking a Western moniker. Simon Usborne, who met a 'Porridge' and a 'Vampire' while in China, can see the problem
Handy hacks that make life easier: New book reveals how to rid your inbox of spam, protect your passwords and amplify your iPhone

Handy hacks that make life easier

New book reveals how to rid your email inbox of spam, protect your passwords and amplify your iPhone with a loo-roll
KidZania lets children try their hands at being a firefighter, doctor or factory worker for the day

KidZania: It's a small world

The new 'educational entertainment experience' in London's Shepherd's Bush will allow children to try out the jobs that are usually undertaken by adults, including firefighter, doctor or factory worker