Motorola's train wreck of troubles continues
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Blog: Motorola has issued another profit warning. Could this mean that CEO Ed Zander is on his way out?
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Blog: Motorola reported more losses for the second quarter of 2007, but management hopes that a recovery is still on the horizon.
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The chipmaker appears to have put its major problems in the rearview mirror. Plus: Intel's mobile Linux project.
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Motorola Inc.&#39;s re-entry into the television market was stymied by the dissolution of a Chinese partnership, dealing a blow to the cell phone maker&#39;s plans to expand into consumer electronics.
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Motorola Inc  said on Wednesday it will post an operating loss in the current quarter as recovery in its cell phone business is taking longer than expected, dashing Wall Street expectations for a profit and sending its shares down as much as 14 percent.
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Motorola said it is exploring a realignment of its businesses to boost its struggling cellphone unit, which has fallen on hard times after a two-year run of success with the Razr.
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Motorola may spin off its handset business, the weakest part of a wireless giant that has seen hard times and a management shakeup in recent months.The company is &quot;exploring the structural and strategic realignment of its businesses to better equip its Mobile Devices Business to recapture global market leadership and to enhance shareholder value,&quot; Motorola said in a statement Thursday. &quot;The company&#39;s alternatives may include the separation of Mobile Devices from its other businesses.&quot;The handset unit has had trouble coming up with a successor to the popular Razr phone, and in last year&#39;s third quarter it fell to third place in worldwide sales behind Samsung. But spinning off the division, which forms the largest part of Motorola&#39;s business, would be a drastic move.Motorola had 13 percent of the worldwide handset market in last year&#39;s third quarter, down from a 21 percent share a year earlier, according to Gartner. Samsung had 15 percent and Nokia 38 percent.Thursday&#39;s announcement doesn&#39;t guarantee the handset business will be spun off. CEO Greg Brown said in the statement that Motorola was exploring ways in which the unit can recover faster and retain and attract talent, plus help shareholders &quot;realize the value of this great franchise.&quot;In its fourth-quarter results announced last week, Motorola said the Mobile Devices Business lost $388 million on revenue of $4.8 billion, down from a profit of $341 million on revenue of $7.8 billion a year earlier. Fourth-quarter sales were up in both the Home and Networks Mobility group, which makes set-top boxes and wireless infrastructure, and in Enterprise Mobility, which benefitted from&#160;Motorola&#39;s acquisition of Symbol Technologies&#160;early last year.Motorola as a whole lost $49 million for the year.&#160;CEO Ed Zander stepped down in late November, replaced by Brown.
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Motorola&#39;s mobile-phone business continued to lose its signal in the fourth quarter, dragging the company&#39;s revenue and profit down.The Schaumburg, Illinois, company has had trouble coming up with a phone to match the success of its original Razr, which is now several years old and does little for the company&#39;s bottom line. Motorola&#39;s Mobile Devices unit had sales of $4.8 billion in the fourth quarter, down from $7.8 billion a year earlier, and the division lost $388 million compared with profit of $341 million in last year&#39;s fourth quarter.Stronger results with enterprise and home-network products eased Motorola&#39;s pain, but the company still reported a steep fall in profit for the quarter and a loss for the full year 2007. In the fourth quarter, Motorola had net income of $100 million and earnings per share of $0.04, down from $529 million or $0.25 a year earlier. The company lost $49 million or $0.02 per share for the year. Companywide, revenue in the quarter fell to $9.6 billion from $11.8 billion a year earlier.The outlook for the current quarter is no better. Along with Wednesday&#39;s earnings report, Motorola forecast a loss of between $0.05 per share and $0.07 per share, excluding charges associated with its cost-reduction initiatives and other items.&quot;The recovery in Mobile Devices will take longer than expected and there is a lot more work to be done,&quot; CEO Greg Brown said in a prepared statement. The company&#39;s &quot;primary focus&quot; is to improve profits and enhance its mobile products, he added. Motorola is also focused on reducing costs and took several steps to make the Mobile Devices business more efficient, he said.Once locked in a struggle with Nokia for cell-phone sales leadership,&#160;Motorola had fallen to third place&#160;behind Samsung by last year&#39;s third quarter. Last May, when it introduced the Razr&#39;s successor, called the Razr2, the company said it hoped the new device would cut losses. But tough times have continued in the face of Apple&#39;s iPhone and other high-profile competitors, and in late November,&#160;CEO Ed Zander was replaced by Brown.Fourth-quarter sales were up in both the Home and Networks Mobility group, which makes set-top boxes and wireless infrastructure, and in Enterprise Mobility, which benefitted from Motorola&#39;s acquisition of Symbol Technologies early last year. The home business saw sales rise 11 percent to $2.7 billion, though its profit fell to $192 million. Profit in the home business soared to $451 million from $323 million in the fourth quarter of 2006, while sales were up 35 percent to $2.1 billion.In midday trading Wednesday, Motorola&#39;s shares on the New York Stock Exchange were down $2.32 to $10.00 amid a generally weak day on Wall Street.
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Motorola Inc  on Wednesday  forecast a loss for the current quarter, saying a recovery in  its mobile devices business would take longer than expected.
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Motorola Inc said on Wednesday it will  post an operating loss in the current quarter as its cell phone  business is taking longer than expected to turn around, dashing  Wall Street hopes for a profit and sending its shares down as  much as 23 percent.
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Are there more changes ahead for Motorola?
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CHICAGO -- Wireless technology company Motorola Inc. said Thursday its profit plunged 94 percent in the third quarter, as sales fell substantially in its cell phone business and it narrowly averted a third straight quarterly loss.
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As Motorola considers spinning off its cell phone business, CNET takes a look at the company's hits and misses.
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Cell phone maker Motorola warned of a second-quarter profit and sales shortfall, blaming poor results in its mobile devices business in Asia and Europe.
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New Motorola Inc. CEO Greg Brown doesn't have the secret weapon his predecessor Ed Zander possessed when he arrived at the cell phone maker four years ago Â the Razr. But that could be a good thing Â if Brown, who took over Tuesday as chief executive, applies lessons learned from Motorola's nasty fall last year.
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Struggling cell-phone maker Motorola Inc. said Thursday it is considering separating the handset unit from its other businesses in an effort to snap a deep slump that has followed its meteoric success with the Razr.
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Wireless tech heads to court again, as Motorola subsidiaries Symbol and Wireless Valley claim patent infringement.