Microsoft has today announced more big cuts to its smartphone business, just two years after it bought handset maker Nokia in an ill-fated attempt to take on market leaders Apple and Samsung.
The US company said it would shed up to 1,850 jobs, most of them in Finland, and write down $950m from the business.
It did not say how many employees currently work on smartphones in the group as a whole.
A Finnish union representative told Reuters the cuts would essentially put an end to Microsoft's development of new phones.
Microsoft said in a statement it would continue to develop the Windows 10 platform and support its Lumia smartphones, but gave no comment on whether it would develop new Windows phones.
Microsoft bought Nokia's once-dominant handset business for about $7.2 billion in 2014, but failed to turn the business around and last year announced $7.5 billion of writedowns and 7,800 job cuts.
Global market share of Windows smartphones fell below 1% in the first quarter of 2016, according to research firm Gartner.
Earlier this month, Microsoft sold its entry-level feature phones business for $350m.
The company said today it expected to cut all 1,350 jobs at its Finnish mobile phone unit and close down a research and development site in the country.
A further 500 jobs will go in other countries, it said, without giving details.
"We are focusing our phone efforts where we have differentiation," the company's chief executive Satya Nadella said in a statement.
"We will continue to innovate across devices and on our cloud services across all mobile platforms," he added.