Nokia will slash up to 14,000 jobs in a major cost-cutting drive to address a “weaker” market environment, it said in a statement on Thursday.

A major provider of 5G equipment, the Finnish telecom giant employs 86,000 people and will lower its headcount between 72,000 and 77,000 as part of a broader restructuring.

As a result of this move, the company expects to reduce staffing expenses by 10% to 15% and save at least €400 million ($421.4 million) in 2024 alone.

The company said the reductions will cut Nokia’s costs by up to €1.2 billion (nearly $1.3 billion) cumulatively by 2026. In an announcement, Nokia (NOK) said it would “act quickly” to implement the changes.

“The most challenging business decisions are the ones that affect our people,” said CEO Pekka Lundmark. Nokia has an extremely talented workforce, and we will support everyone impacted by this process.”

Due to slower 5G deployment in markets such as India, mobile network sales fell 19% in the third quarter compared with last year.

Also this week, Ericsson warned that second-half sales in 2023 will likely be lower than usual due to a “challenging environment and macroeconomic uncertainty.”

Nokia has maintained its 2023 sales forecast, predicting between $24.4 billion and $25.9 billion ($23.2 billion-$24.6 billion).

Lundmark said that his company believes that our markets will remain attractive in the midterm and the longterm.