FRANKFURT, Germany-Germany’s troubled telecom firm MobilCom said it would cut 1,850 jobs and halt the rollout of its third-generation network in Germany.
The German company was close to bankruptcy earlier this month after France Telecom, which holds a 28.5-percent stake, cut off funding. A $390 million rescue package from state-owned banks and brokered by the German government has kept the operator afloat.
The operator is cutting one-third of its staff to save about $127 million. Although the operator has halted rollout plans, it said it intends to keep its 3G license.
The announcement effectively decreases the number of competitors in the German 3G market to four from the original six. Quam, a venture backed by Spain’s Telefonica Moviles and Finland’s Sonera, wrote off its 3G assets in Germany in July.
