
Motorola now breaks its silence. Maybe some will be surprised to know that the company has split its operations in two. As was announced yesterday, Motorola is splitting itself into two independent companies. One will focus on the making mobile gadgets while the other will take on development of network infrastructure. The process of the separation is still ongoing and if all their negotiations succeed, the official split will happen in 2009.
This move is precipitated by the fact that Motorola is already lagging way behind its competitors. You can see that for the past months there were no new mobile offerings from Motorola, unlike Apple with its iPhone or Nokia and Sony Ericsson. After the Razr, Motorola just trailed way behind. So, with this planned split, Motorola hopes to give life to their operations. Enhanced flexibility, customized capital organization and better investment opportunities are only some of the goals that is hoped to be achieved with the split plan.
