Jolla today said the company is restructuring its finances and laying off the bulk of its employees.
Jolla was launched by former Nokia employees and created Sailfish OS and several phones and tablets. The idea was to offer an alternative to Android, iOS, and Windows Phone.
Sailfish was built from Nokia’s old Moblin and Maemo Linux platforms. Jolla Chairman and Co-Founder Antti Saarnio says Sailfish OS is commercially mature and ready to be licensed to other hardware makers. Jolla has burned through most of its cash, however, and needs to take time to regroup. The company will let go of the majority of its employees while restructuring its debt, although it insists the layoffs are temporary.
“In Finland we have very good laws for corporate restructuring. These enable the continuation of businesses through debt restructuring, which gives a company more time to take care of its financial liabilities,” said Saarnio. “I believe that through this program Jolla can turn its business to be profitable in the future. Sailfish OS is a very valuable asset and worth fighting for.”
Saarnio claims Jolla has several large and small OEMs considering Sailfish OS for their own hardware. He did not suggest how long it might take for Jolla to get its finances back in order, nor when it might re-hire its employees.
