News
Motorola delays sale of mobile unit
Stuart O'Brien Oct 31 2008, 11:01am
Alarming decline in Q3 handset sales at beleaguered company forces big rethink.
Motorola's handset revenue fell by 31 per cent to $3.1 billion in 3Q08, prompting the company to delay plans to spin off its mobile unit until after 3Q09.
It also confirmed it will be axing 3,000 jobs after incurring quarterly losses of $397 million.
In terms of units, Moto sold 24.4 million handsets in the quarter, down 31.7 per cent from 37.2 million in 3Q07.
As a result the company said its global market share had slumped to 8.3 per cent, from highs of 20 per cent during the Golden Age of Razr.
Moto's co-CEO Sanjay Jha warned there would be 'no quick fix' to the situation, but said that it would be ramping commitments to smartphones powered by Windows Mobile and Google Android.
