Sprint Nextel, with the aim to save as much as $350 Million annually, has announced that it will be cutting up-to 2,500 jobs for the current quarter. In the current financially troubling times, companies all over have been forced to take such decision, but Sprint might just end up hurting itself even more with the lay-offs.

According to analysts, Sprint is already facing such high costs and the target saving after job-cuts will not help it much. "Financially it helps", said Stifel Nicolaus analyst Christopher King, "(but) $350 million in annual expense savings isn't much for a company that has roughly $26 billion in annual operational expenses."

With the total work force of 42,000, Sprint has already axed 8,000 jobs in the current year, and will have to shell out between $60 Million to $80 Million for severance payments and other costs related to the fresh job-cuts announced.

As confirmed by the company, the job-cuts will happen throughout the firm and would start with effect from December end. Post the announcement, the value of Sprint shares rose by 20%, or 58 cents, and stood at $3.43 per share on the NY Stock Exchange.