Motorola to split in two units

Wednesday, March 26, 2008 |

Motorola has decided to split into two publicly traded companies




Motorola has been under pressure from investors and will now split into two units.

1.Handling handsets and accessories
2.wireless broadband networks and enterprise-level communications services


The Mobile Devices business will handle the designs, manufacturing, and sales of mobile handsets and accessories, and will license a portfolio of intellectual property.

The Broadband & Mobility Solutions business will handle voice and data communication solutions and wireless broadband networks for enterprises and governments. It will also handle IP video, cellular, and high-speed broadband network infrastructure, and cable set-top receivers.

CEO of Motorola : Greg Brown

CEO Greg Brown said that the decision to separate the Mobile Devices and Broadband & Mobility Solutions businesses will follow a review process undertaken by the management team and Board of Directors, together with independent advisers.

What could happen after the split


This split could mean that we could expect Motorola's market to grow four fold since each of the companies will focus on their operations and hence create a market for themselves.

This article has sourced some information from cnet news
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