As a part of streamlining its product portfolio and its “ongoing strategic integration” between Lenovo and Motorola, the former announced a massive layoff that will see around a 1,100 people lose their jobs. 

Lenovo says that this layoff will impact less than 2% of the approximately 55,000 employees it has globally. The layoff is going to primarily affect people working in Motorola’s headquarter in Chicago. Since acquiring Motorola, Lenovo has already laid off almost 700 employees from Motorola. With the latest layoffs, the number will now sit around the 1,700 mark.

Lenovo today announced a resource action impacting less than two percent of its approximately 55,000 employees globally. The majority of the positions being eliminated are part of the ongoing strategic integration between Lenovo and its Motorola smartphone business as the company further aligns its organization and streamlines its product portfolio to best compete in the global smartphone market.

Despite these layoffs, Lenovo will continue to maintain Motorola’s headquarter in Chicago.

Lenovo acquired Motorola almost two years ago from Google. While Lenovo’s smartphone business was flourishing at one point of time, it has now been overtaken by other Chinese OEMs like Huawei, Oppo, and Vivo. Motorola itself has also not been doing particularly well. While the Moto Z is an impressive smartphone especially with its nice modular design, the price of Moto Mods is too high for consumers invest in them.