Nokia chose to cut up to 310 jobs, stops VR camera development

"The slower development of the virtual reality market means that Nokia has made a decision to reduce investments and focus more on technology licensing opportunities", it said in a statement.

The OZO ball boasts eight cameras and microphones that capture footage and for VR experiences. The OZO camera offers eight 4K sensors and eight corresponding wide field of view cameras.

There's good news for existing OZO users, however, as Nokia promises that existing commitments will not be impacted. The company halted development of future models of the camera in favor of further investment into digital health technology. Nokia has cut the price of the virtual reality camera by 25 percent to $45,000 later this year. Now that the acquisition is complete, Nokia phased out the Withings brand name and is ready to double down on its new brand image.

The company said that up to 310 of its 1,090 employees in the unit will be affected by the move, with the majority of jobs likely to be lost in Finland, the US and the United Kingdom.

Nokia said that Nokia Technologies will sharpen its focus on digital health and accelerate the company's growth in that market. Nokia says it needs to focus less on VR products and more on "technology licensing opportunities", in other words, patent licensing deals, alongside an "increased focus on digital health and brand and technology licensing".

"While necessary, the changes will also affect our employees, and as a responsible company we are committed to providing the needed support to those affected", he added.

Nokia Technologies invited big Hollywood studios and production houses to try out OZO with the likes of Disney and UEFA among those who had chosen to use the hardware to work on its VR projects.