News
Moto still has the blues
Stuart O'Brien Oct 26 2007, 8:38am
Motorola woes continue with more losses in its handset division.
While the company as whole posted 3Q07 profits of $60 million (its first quarterly profit this year, but still 94 per cent down on 3Q06), revenues from the mobile unit fell 36 per cent to $4.5 billion from 37.2 million devices sold.
In fact, the mobile unit made a 3Q loss of 248 million compared with 3Q06 profits of $843 million.
Moto is now the third-ranked handset manufacturer with a 13 per cent share (down 50 basis points from Q2) behind first-placed Nokia and second-ranked Samsung.
Greg Brown, Motorola's president and COO, put on a brave face. He said: "We see the industry growing in the double-digit-plus range."
Analysts say much of Moto's current malaise has come about due to over-reliance of the Razr model and the limited success of its flagship other devices in the mass market.
