NEW YORK (CNNMoney) -- Nokia announced Thursday that it plans to cut 3,500 jobs by the end of 2012. These reductions are in addition to the 4,000 announced in April, and are part of a major restructuring.
The Finnish telecommunications company said it will close its manufacturing facility in Cluj, Romania, by the end of 2011, eliminating an estimated 2,200 employees.
Additionally, Nokia (NOK) said it will close its Location and Commerce operations in Malvern, Pa., and Bonn, Germany, cutting 1,300 jobs. The company will instead focus its development efforts in Berlin, Boston, Chicago, and several other supporting sites.
Nokia also plans to review the long-term role of its manufacturing operations in Finland, Hungary, and Mexico.
These efforts are expected to reduce operating expenses by 1 billion euros by 2013.
"We are seeing solid progress against our strategy, and with these planned changes we will emerge as a more dynamic, nimble and efficient challenger," said Nokia President and CEO Stephen Elop in a press release. "We must take painful, yet necessary, steps to align our workforce and operations with our path forward."
Nokia has faced stiff competition from other smartphone makers like Apple (AAPL, Fortune 500) and Research in Motion (RIM). Earlier this year, Apple overtook Nokia to become the world's top smartphone maker. 
